December 2010 Market Statistics - Northern Virginia
Source: NVAR.com
NAR Reports:
Housing Affordability Still A Plus; Slow Improvements Occurring In The Economy: Unemployment Still In Need Of A Boost Nationwide
Lawrence Yun, NAR chief economist, said historically high housing affordability is boosting sales activity. “In addition to exceptional affordability conditions, steady improvements in the economy are helping bring buyers into the market,” he said. “But further gains are needed to reach normal levels of sales activity.”
. . .
“If we add 2 million jobs as expected in 2011, and mortgage rates rise only moderately, we should see existing-home sales rise to a higher, sustainable volume,” Yun said. “Credit remains tight, but if lenders return to more normal, safe underwriting standards for creditworthy buyers, there would be a bigger boost to the housing market and spillover benefits for the broader economy.”
The 30-year fixed-rate mortgage is forecast to rise gradually to 5.3 percent around the end of 2011; at the same time, unemployment should drop to 9.2 percent.
For perspective, Yun said that the U.S. has added 27 million people over the past 10 years. “However, the number of jobs is roughly the same as it was in 2000 when existing-home sales totaled 5.2 million, which appears to be a sustainable figure given the current level of employment,” he explained.
“All the indicator trends are pointing to a gradual housing recovery,” Yun said. “Home price prospects will vary depending largely upon local job market conditions. The national median home price, however, is expected to remain stable even with a continuing flow of distressed properties coming onto the market, as long as there is a steady demand of financially healthy home buyers.”
Northern Virginia: December 2010
The Northern Virginia Association of Realtors® reports on December 2010 home sales activity for Fairfax and Arlington counties, the cities of Alexandria, Fairfax and Falls Church and the towns of Vienna, Herndon and Clifton.
A total of 1,407 homes sold in December 2010, an increase of about 4 percent above December 2009 home sales of 1,349.
Active listings increased by about 3 percent this month compared to last year, with 5,593 active listings in December, compared with 5,421 homes available in December 2009. The average days on market (DOM) for homes in December 2010 increased by 14 percent to 65 days, compared with 57 days in December 2009.
Average sales prices rose by about 2 percent compared with those realized last year. The average sales price this December was $482,376, compared with last December’s average of $474,104.
The median price of homes sold in Northern Virginia in December was $400,000, which is an increase of around 4 percent compared with December 2009’s median price of $385,000.
The number of pending home sales in Northern Virginia in December dropped slightly compared to last year with 1,192 sales pending compared to 1,225 in December 2009, a decrease of about 3 percent.
Greater Northern Virginia: December 2010
The Northern Virginia Association of Realtors® also reports on home sales activity within Greater Northern Virginia, which includes NVAR jurisdictions plus Prince William, Loudoun and the Greater Piedmont counties.
The number of Greater Northern Virginia region homes sold in December was 2,428, which was only about 2 percent lower than December 2009’s total of 2,485 sales. Pending home sales were down, with 2,208 contracts pending, compared with 2,412 in December 2009, a difference of around 8.5 percent.
The average sales price of $407,690 in December 2010 was an increase of about 3 percent over December 2009’s average sales price of $395,368.
Across Greater Northern Virginia, the number of listings was essentially unchanged, compared with this time last year. There were 11,301 listings active in December 2010, compared with December 2009’s 11,294, a decrease of less than 1 percent. The average DOM for a home sold in December 2010 was 65 compared with last year’s 56 DOM, an increase of about 16 percent.
Buying or Selling a Home in Northern Virginia? Contact Kim Darwaza of RE/MAX Allegiance for all of your Real Estate needs at 703-856-2254 or kim@kimdarwaza.com. To search for listings in Northern Virginia please go to http://www.kimdarwaza.com.