Now that we’re solidly into the spring months and warmer weather, it’s a great time to look back at how the overall market has fared in the first three months of 2023. Whether you’re ready to jump into the market in the coming months as a buyer or seller, or if you simply like to keep a finger on the pulse of the real estate market, this blog will dive into the contributing factors as well as a recap of the overall Virginia residential real estate market through January, February, and March of 2023. Let’s get started.
A Recap of Residential Real Estate in Q1
The real estate market in Virginia has been quite active in the first quarter of 2023. Home sales have increased steadily from January to March, with March being the strongest month of the quarter with 8,709 homes sold. Similarly, sales prices have shown a consistent rise with the average sales price with an increase in the average of $20,000. On the other hand, the overall number of new listings has been relatively stable throughout the quarter, with only a slight increase of about 400 listings monthly. This comes out to about a 5% increase overall through the first quarter of the year.
For sellers, the first quarter of 2023 has been a favorable period as the rise in home sales and prices indicate that the demand for homes in Virginia is high. This can be attributed to various factors such as low mortgage rates, a strong job market, and an increasing population. With all of this in mind, sellers can still anticipate a relatively favorable environment to list their homes and receive competitive offers from buyers.
For buyers, the rising sales prices may seem daunting at first, but the comparatively low mortgage rates make homeownership more affordable when considering the sky-high rates of the last year. The increase in home sales indicates a competitive market, and buyers must act fast to secure a property. The considerably more stable number of new listings can also be seen as a positive sign for buyers, as they will have a good range of options to choose from, and competition will begin to decrease slightly.
Looking ahead to the coming months, we’re anticipating the Virginia real estate market will continue to be competitive. The low mortgage rates are expected to remain stable for the foreseeable future, making homeownership an attractive option for buyers. Additionally, with the arrival of spring and summer, it is typical for the housing market to become more active. Therefore, buyers and sellers should expect a busy season ahead.
What to Expect for Q2
As we move into the second quarter of the year, we’re expecting to see lower interest rates and a continued increase in the overall number of homes on the market. For buyers who have been holding off on making a purchase, Q2 may be the best time in a few months to make their move when it comes to the selection of available homes, potential for negotiation in price and terms, as well as lower interest rates than we’ve seen in the last year.
As for sellers, the market is not nearly as hot as it was in 2021, but it’s a decent time to sell your home if you’ve been considering making a change.
Make the Most of the Market for 2023
Are you considering buying or selling your home in the next few months? Maybe you’re scoping out the market for the best time to get the most for your money? Wherever you find yourself as we move into the spring and summer, reaching out to our team at Coldwell Banker Elite is a great place to start. We’ll help you navigate the current market, sell your home, and find your dream home, all as easily and seamlessly as possible.
Let’s make the most of 2023 – Reach out to us anytime to get started!