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The Central Virginia housing market continues to experience home sales growth, according to a Central Virginia Regional Multiple Listing Service report. The upward trend has exceeded six years.
During the first quarter of this year, there were 3,813 home sales in the region – 4 percent higher than the same time last year.
Sales and home prices are climbing at steady rates. Much of this consistency is being driven by the strength of the region’s economy, which has experienced low unemployment and steady job growth, according to the report.
The increase in home sales continues to occur throughout the region, with 13 of the 16 jurisdictions having more sales than last year. There were 3,083 sales in the Richmond Metro Area, 55 more than a year ago, a 2 percent increase. Hanover County led the Richmond Metro Area in sales growth, climbing 13 percent from the same time last year with 358 sales. Prince George County led the Tri-Cities Area in sales growth climbing 15 percent from last year with 70 sales in the 1st quarter.
Home prices continue to rise at a steady rate in the Central Virginia region. The average sales price in the region was $267,825 in the first quarter of 2018, up 4 percent from a year ago, a gain of more than $11,400. At $236,857 the median sales price in the region also rose, climbing 6 percent from this time last year, a gain of over $13,700.
On average, homes are selling 7 days faster in the Central Virginia Region compared to the first quarter of 2017. The average days-on-market has now been trending down for 4 consecutive years and reflects the strong demand in the housing market and historically low inventory of homes available. This trend has now reached a decade in length and is putting upward pressure on home prices in the region.
“The Federal Reserve voted in March to increase interest rates again, the 6th increase in 2 years,” said Susan Swink, 2018 President of the Richmond Association of Realtors and Central Virginia Regional MLS. “Despite the recent increases, interest rates remain historically low, and could spur both potential buyers and sellers to enter the housing market to lock in lower rates,” Susan added.
