The real estate market in Northern Virginia has remained open for business through the COVID crisis. The market slowed significantly in March, April and May while we were all trying to figure out what the heck was going on – but as we have come to accept the new normal the market came back surprisingly well in June!
The overall new listing volume for the year is still down – but the number of listings in June are back in the typical range. I predict that for July new listings will hit or exceed last years numbers as sellers that put their plans on hold in the spring move forward.
The graph shows a significant drop for new listings in April and May. Not really surprising as the COVID “shock” happened in March and peoples initial reaction probably was to put a hold on everything with employment and economic uncertainty setting in.
The number of sales likewise plunged and were down about 45% from last year year-over-year for May 2020. For April the year-over-year number of sales were down about 35%. Closings in June are still down significantly from last year but up from May by quite a bit.
Based on anecdotal evidence I suspect July closings will narrow the gap to 2019 and bring the number of sales closer to the 5 year average.
To put the numbers in a regional perspective, NVAR put out year-over-year statistics for May.
The Northern Virginia Association of Realtors® reports on May 2020 home sales activity for Fairfax and Arlington counties, the cities of Alexandria, Fairfax and Falls Church and the towns of Vienna, Herndon and Clifton.
A total of 1,622 homes sold in May 2020, a 31.82% decrease below May 2019 home sales of 2,379.
Active listings decreased this month compared with 2019. Listings were down 31.87% below last year, with 1,984 active listings in May, compared with 2,912 homes available in May 2019. The average days on market for homes in May 2020 was 17 days, an increase of 6.25% compared to the 16 DOM for homes in May 2019.
New listings fell by about 35% in May compared to last year, to 2,174. There were 3,363 new listings in May of last year.
The average home sale price rose by 2.34% compared with last May, to $641,002. The May 2019 average sale price was $626,345.
The median sold price of homes this May, which was $580,000, rose by 4.93% percent compared to the median price of $552,750 in May 2019.
Every situation is different – if you need to sell or buy in the age of COVID send us a note or give us a call. We will be more than happy to give you our thoughts.
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