Virginia Home Sales Report
According to the Virginia REALTORS July 2018 Home Sales Report, existing homes sales in Virginia rebounded from a sluggish June (down 4.2%) and rose 6.7% in July. July existing home sales rose from 11,710 existing-home sales in July 2017 to 12,495 in July 2018. Annualized existing-home sales, a measure of the preceding 12 months of activity, totaled 123,697 sales at the end of July.
Statewide inventory levels dropped from 6.1 months of supply to 5.9 months in July. Regional inventory varied widely from a low of 3.5 months in the Central region to a high of 24.9 months in the Southwest region. Inventory levels in the urban areas were significantly lower than in the rural areas.
Statewide median sales price declined slightly year over year, from $295,000 to $294,850 in July 2018. This is the first month in over two years that median sales price did not rise year over year. The ask-to-sell ratio stayed at 100.0% in July, the fourth straight month at that level. The median number of days on the market dropped from 38 days in July 2017 to 33 days in July 2018. This is the 28th straight month of year over year declines in median days on market.
July 2018 existing home sales volume (the sum of all sales) rose by 5.4 percent over the same period in 2017, from $4.19 billion in June 2017 to $4.42 billion in July 2018. Annualized home sales volume, a measure each month of the total sales volume for the previous 12 months, totaled $42.53 billion for existing-home sales for the twelve months preceding July 31, 2018.
The average 30-year fixed mortgage interest rate for July increased slightly to 4.60 percent. Despite rate increases over the past year, financing remains historically affordable and, coupled with Virginia’s low 3.1% unemployment rate and high consumer confidence, continues to encourage market entry.