“Mixed signals” is how the Virginia Realtors trade organization describe the data coming out of May home-buying activity.
“Closed-sales activity was higher than last year, but pending sales were flat, potentially a signal of some hesitation in the market,” the organization said in releasing its May data June 25.
Sales for the month totaled 10,715, up 1.5 percent, but the two largest markets (Northern Virginia and Hampton Roads) saw declines of 2.6 percent and 0.8 percent, respectively. Central Virginia, which includes the Richmond area and is the third largest homes market in the commonwealth, saw a boost of 5.1 percent to 2,336, coming close to knocking off Hampton Roads and taking the second spot.
“While sales activity has outpaced last year four out of five months so far in 2024, this level of sales activity is still below average,” said Tom Campbell, president of Virginia Realtors.
In more rural corners of the commonwealth, activity appears to be flourishing. The largest percentage sales growth in May was found in the Shenandoah Valley, the Roanoke Valley and in south-central Virginia, including the southern Piedmont region.
Tight inventory conditions coupled with pent-up demand continue to put upward pressure on home prices in most of Virginia’s local markets.
May’s statewide median sales price was $425,000, up 3.6 percent from a year before and representing a new record high. Nearly three-quarters of Virginia’s 133 cities and counties turned in higher median sales prices, with transactions occurring quickly and many sellers reaping more than listing price.
Buyers currently in the market are starting to see more options laid out in front of them.
“The supply of listings remains tight compared to the number of sales and the demand in the market, but there has been some notable improvement to the number of active listings,” Virginia Realtors’ chief economist Ryan Price said.
For full data, see the Website at https://virginiarealtors.org/research/reports/home-sales-reports/may-2024-home-sales-report/.
