Virginia’s residential sales volume up nearly 9 percent year-over-year

The residential real estate market hasn’t lost strength as the year draws to a close. According to the November 2017 Home Sales Report released Thursday by the Virginia Realtors, year-to-date volume (the sum of all sales) for January through November rose 8.8 percent compared to the first eleven months of 2016, rising from $35.24 billion to $38.34 billion.

Year-over-year transactions for the November rose by 3.9 percent, from 8,648 in 2016 to 8,982 in 2017.

Jay Mitchell, 2018 president of Virginia Realtors, is confident that the strong market will continue in 2018. “November sales show there are still buyers in the market who are ready to make the deal if they can find the house they want,” Mitchell said in a statement. “While the fourth quarter can typically slow, we are still seeing tight inventory and high demand from buyers for homes that present well and are priced right.“

The possibility of interest rate increases and the effects of federal tax reform also are combining to persuade buyers to purchase now “to make sure they can close ahead of an upward curve,” added Mitchell.

Sales volume for November was $3 billion, rising 8.7 percent from November 2016’s volume of $2.7 billion. The increase reflects boosts in median price and the number of transactions.
The number of transactions in November fell 8.3 percent from October (from 9,797 to 8,982), a drop characteristic for that time of year.

Statewide, the median sales price for November was $270,000, an increase of 2 percent from the median price last November ($264,700). Since November 2014, the median price has risen 8 percent (from $250,000).

The average number of days on the market in November declined markedly year-over-year by 12.7 percent (62 days from 71 in November 2016).  According to the report, the decline is an indicator of buyer eagerness.

Month-to-month, though, the average length of time on the market increased by 3.3 percent (from 60 days in October).

The average 30-year, fixed-rate mortgage interest rate rose in November to 3.92 percent.