Will the Northern Virginia real estate market skyrocket?
What will the spring market bring in Northern Virginia?
With the temporary end of the furlough, thankfully the DC area is back to work this Monday morning! And it looks like it is going to be a super cold week in the NOVA region. If you haven’t already, make sure you winterize ASAP – here are some tips to make sure you are ready.
For our market stats this week we are going to expand on the inventory crisis we have in Northern Virginia. You may have heard that there is “nothing out there” for buyers or perhaps you have heard about homes selling quickly. Both are very true.
Last year Team AGC shared with you that the NOVA market had a ten year low for available homes for sale – well, now it’s an 11 year low.
From this chart you can see that we have barely a month’s supply of housing – we typically have between 1.5-2.5 month’s worth of homes in our region.
This would lead one to believe that prices are going up, and they are – but not at the rate you would expect. It has taken us 13 years for our average sales price to come back to 2005 levels.
Instead the Northern Virginia region is seeing a slow and steady rise – which is good!
Here is a historical look from The Sun Gazette that covers 1975-2017 for the DC area. You can see that the years leading up to the bubble we had double digit growth – which was obviously not sustainable. We all know how that ended.
All of this to say that prices throughout Loudoun and Fairfax County are rising steadily, and are forecast to remain this way. Even with rising mortgage interest rates and consumer confidence shaken by the recent government shutdown, the low inventory is actually helping keep real estate values up.
If you want to know exactly what your property is worth, let us know – we would be happy to help!