Pending home sales spike in Virginia as closed sales remain flat

The Virginia housing market demonstrated a surge in pending sales in September 2024, when compared with the same month a year ago, indicating a potential influx of buyers into the market, according to the latest Virginia Home Sales Report released by Virginia Realtors.

While the total number of closed sales in September of 8,065 represented less than a 1% increase compared with September 2023, the number of homes pending sale jumped by nearly 1,000, or 14%.

“This is the largest increase in pending sales Virginia’s housing market has had in more than three years and was likely driven by last month’s drop in mortgage rates,” said Ryan Price, chief economist at Virginia Realtors. Price attributed the surge to the decline in mortgage rates, which fell near 6%, prompting more buyers to enter the market.

The median home sales price in Virginia continued its upward trend, reaching $419,200 in September, a notable 10.3% surge (or more than $39,000) from the previous year. It is the most substantial increase in the statewide median price since the spring of 2022.

Despite the competitive market conditions, the supply situation is showing signs of improvement. Active listings in September reached 19,764 statewide, a considerable 19% increase, or approximately 3,100 more listings, compared to the same time last year.

Virginia Realtors 2024 President Tom Campbell said that supply conditions are tightening in Virginia but improving.

"Active listings have outpaced 2023 levels every month so far this year,” Campbell said. In total, there were 19,764 active listings on the market statewide in September, a surge of nearly 19%, about 3,100 additional listings more than during the same time last year.