Virginia Home Sales Report
According to the Virginia REALTORS April 2018 Home Sales Report, the residential real estate market in Virginia inched forward by 0.5% as a tight inventory supply led to a slight increase in year-over-year sales (from 10,616 to 10,666). Also in accordance with historical seasonality trends, the number of transactions in April increased month-over-month by 7.8 percent (from 9,894) as the Spring selling season is in full swing.
April 2018 volume (the sum of all sales) increased 3.6 percent over the same period in 2017, from $3.616 billion in April 2017 to $3.746 billion in April 2018. Typical of industry seasonality, volume rose from the prior month by 12.4 percent (from $3.331 billion in March 2018).
Statewide median sales price for April 2018 was $289,900 an increase of 3.5 percent relative to last April ($280,000). Illustrating the continued trend of limited supply, median price increased $12,000 from March to April(from $277,000) and the ask-to-sell ratio reached 100.0% in April, up from 99.9% in March and 99.7% in April 2017. In addition to an elevated median price and ask-to-sell ratio, the median number of days on the market dropped to 32 days, down from 37 days in March 2018, and down from 36 days in April 2017.
The average 30-year fixed mortgage interest rate for April increased to 4.58 percent. Despite rate increases, financing remains historically affordable and, coupled with Virginia’s low 3.3% unemployment rate and high consumer confidence, continues to encourage market entry.