Va. median home sales price breaches $400k for first time

The statewide median sales price for a home in May rose above $400,000 for the first time, according to the Virginia Realtors’ May 2022 Virginia Home Sales Report.

The median price was $401,082, up 8.7% and more than $32,000 from a year ago.

In total, 13,048 homes sold in Virginia in May, an 8.5% decrease from the same time last year. Although sales activity rose 8.8% between April and May, “this increase is considered a typical seasonal bump,” according to the report.

Compared to last year, nearly all regions in the commonwealth are experiencing a cooling housing market through the first five months of this year.

“The moderating trend we are seeing reflects not only a return to more normal levels, but also a cooling of demand from home buyers,” Virginia Realtors Chief Economist Ryan Price said in a statement. “Buyers are feeling the weight of surging home prices, high inflation, mortgage rate jumps and an extremely competitive market with few options to choose from.”

There was approximately $6.6 billion in sold volume in Virginia in May, up less than 1% from a year ago. Higher prices led to the uptick, as there were fewer sales overall.

In Virginia’s market, the shrinking trend in supply seems to be changing. Statewide, the market had 16,875 active listings at the end of May, a 5.6% decrease from last year, but the smallest decline in three years.

The number of active listings at the end of May was 9% higher than at the end of April — a larger increase than a typical seasonal bump.

The average days on market statewide in May was 17 days, five days faster than last May. Homes in the $600,001 to $800,000 price band sold fastest, with an average of 13 days to closing.