Third quarter brings gains to Virginia residential real estate

The Virginia residential real estate market saw healthy gains in the third quarter. According to the Virginia Association of Realtors (VAR), the market rose 11 percent from the third quarter of 2014 to a sales volume of $10.1 billion, contributing to a year-to-date volume totaling $27 billion.

VAR’s third-quarter 2015 Home Sales Report says theincrease reflects a sustained trend of long-term improvement.

Year-over-year, the number of units sold rose in every price category except $1million and above, with the most significant increases in
sales closed between $300,000 and $500,000.
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“When we look at the double-digit growth in sales from this time last year along with increased revenues to the state through the recordation tax, we have confidence in Virginia’s improving housing market and its positive impact on our overall economy,” VAR President Deborah Baisden, said in a statement.  “With prolonged access to low interest rates and stabilization in employment confidence, there is valuable opportunity for buyers to enter or upsize in this market.”

The aggregate median sales price for a home rose to $265,000 in the third quarter, an improvement from the preceding quarter and from the third quarter of each of the last three years, rising nearly 7 percent from the third quarter of 2012.

Regional changes in median sales price ranged from a decrease of 2.3% in the Central Valley to 9.0% and 9.5% in Southside and Southwest Virginia respectively

However, compared to the third quarter of last year, 2015 third quarter home sales increased in all nearly all price bands.
The VAR said the growth in overall transactional value for the comparable time periods between 2014 and 2015 is due primarily to an increased number of units sold, since the median sales price increase was slight, 2.3 percent.

The number of units sold rose to 31,176, a 13 percent rise over the same period last year.

Typical of industry seasonality, days on the market have lengthened steadily from the summer months. However, compared to the third quarter of 2014, the number of days on  market decreased by 6.8 percent, indicating a quickening in sales pace, the trade group said.