Home sales continue to surge in September

Inventory remains low while home prices rise

Published October 26, 2020 by Sydney Lake

Virginia continues to see home sales surge, with a 35% increase during September, according to Virginia Realtors. 

Sales were up by a staggering 80% in Eastern Virginia when compared to last year. Northern Virginia saw a 37% increase, and Central Virginia saw a 24% jump. Although home sales historically slow following the summer season, the pandemic has changed the course for residential sales, according to Virginia Realtors.

“As a result of the pandemic upending the typical market patterns, the strong summer housing market surged ahead into September,” Virginia Realtors Chief Economist Lisa Sturtevant said in a statement. “Strong demand and low mortgage rates continue to fuel robust housing market activity.”

Median home sales prices are also up by 13% when compared to last year at $329,000 — and homes are selling quickly. During September 2019, homes sold in an average of 48 days, while last month homes sold on average in 37 days. This, however, has led to low inventory levels.

Video courtesy Virginia Realtors.

“While demand for homes continues to be high, the lack of available inventory remains the biggest constraint on the performance of Virginia’s housing market,” according to Virginia Realtors. “At the end of September, there were over 40% fewer listings than the same time last year.”

Larry “Boomer” Foster, president of Long & Foster Real Estate, says that due to low inventory levels, Virginia is starting to see a seasonal slowdown in sales. 

“You see the number of units sold are up everywhere, while inventory continues to drop dramatically across the Northern Virginia area,” Foster said in a statement. “Competition is high right now, so the likelihood of someone getting the first house they put an offer on is slim; however, if consumers are prepared for this competitive environment, they’ll be able to navigate the market.”

Subscribe to Virginia Business.

Get our daily e-newsletter.