Blog • December 31, 2022

Market Update – December 222

by Denise Fuller

Market Update – December 2022

REAL ESTATE IN NORTHERN VIRGINIA

This month’s market update for Northern Virginia shows how the real estate market is continuing to slow. The holidays are also a time when things are slow traditionally.

What Agents are Seeing

The month of December was even slower than the previous month, likely a combination of the shifting market due to higher mortgage interest rates and a traditionally slower Winter season. According to Bright MLS Home Demand Index, which is a 17% drop from the previous month and 23% lower from this time last year.

Statistics

Using data from MarketStats by Showing Time, the median sale price for a home in Northern Virginia is now $585,000 down from 599,900 the previous month. This is a 2.5 decrease from the previous month and 4% increase from this time last year.

By the end of November 2022, there were 1,953 homes sold. This is 14% decrease from last month and a whopping 46% decrease from last year. This could be due to the traditionally slow buying season and lack of inventory of homes for sale. It is important to note that 2021 was not a traditional real estate year as the pandemic along with very low mortgage interest rates created a buying frenzy with homes selling well over asking price in record time.

The average number of days it took to sell a home is now at 27, up 2 days from last month and up 6 days from last year.

The median price per square foot per home is now $281, about what it was last month and still 3.7% up from last year.

The total value of homes sold amounted to $1,332,464,963. This is down 17% from last month and down 43% from this time last year.

Month’s Supply

The month’s supply is steady at 1.6 which is up significantly from 0.97 from last year this time. This number shows how many months it will take to sell all the current homes now on the market. Most consider a balanced market, where buyers and sellers of homes are on the same playing field, to be about 3-6 months supply. It illustrates how low inventory really is at this time.

Mortgage Interest Rates

According to Nerd Wallet, the annual percentage rate on 30-year conventional mortgages is at 6.518. This is up 13 basis points from the previous week and also up 339 basis points (about 3 percent higher) than last year. As you can see from the graph below, interest rates have been unpredictable day to day though they are still coming down from their highest point when rates hit 7.28 around October 23. Most experts are predicting rates may continue going up and then leveling off by the end of 2023.

Advice to Sellers

We recommend that those thinking of selling their homes work with a trusted real estate agent who will assist them in understanding the current market (which shifts each week); addressing the condition of their home; using the latest technology and resources to market their home; and determining the best asking price. It is also wise to keep in mind that homes are taking longer to sell and with fewer offers. Negotiations and patience are of the utmost importance.

Advice to Buyers

For buyers who may be discouraged by higher interest rates, do not lose hope. Some buyers have been asking if they should wait until 2023. Lenders are actively working to create and revitalize programs to help qualified buyers bring down interest rates down. This may include buying down points and/or utilizing a “buydown” option. The advantage of buying now is that there is less competition and more room for negotiation.

Bottom Line

The market update for December shows that there are less and less homes available for sale and home prices are unpredictable. The future is still uncertain as inflation and interest rates remain high. Still, life goes on and personal situations will call for either a home sale or home purchase. Thankfully, Northern Virginia remains a great place to live and own a home.

WATCH THE LATEST VIDEO – MARKET UPDATE FOR DECEMBER 2022

Questions/Concerns? Please contact me.

Also feel free to compare this update with last month’s Market Update – November 2022

Blog • December 9, 2022

How to Sell Your Home in a Market Shift

by Denise Fuller

What is This Market Shift?

The real estate market has shifted. As mortgage interest rates rose, potential home buyers backed away. Six months ago when a buyer could get an interest of 3% is long gone and it affects their buying power. For example, the monthly mortgage on a 30 year conventional loan on a $500,000 home at 3% is $2,353. Now, at 7%, the monthly mortgage jumps to $3,328. So understandably, there is less demand to buy a home at this time. Because of this, it now takes longer for homes to go under contract. Still, the good news for home owners is that the number of homes for sale is still very low. The positive side of this is that the price of homes have not declined significantly just yet. According to MarketStats by Showing Time, the median sold price of a home in October is 4% more than it was last year. Still median prices are down 1.6% from last month. So what are homeowners who need to sell their home to do? Here are 5 tips on how to sell your home in a market shift.

5 Tips for Selling Your Home Now

1. Repairs/Renovations

Before putting your home on the market, pretend you are a buyer and tour your home. What stands out to you? Another option is to get a home inspection professional to find the problems for you. You don’t want to put your home up for sale before knowing there is a major and costly problem such as in the roof, plumbing or heating systems. The idea is to fix major repairs first before tackling renovations. And what if you don’t have a budget? There are programs available the will cover the costs of repairs and renovations until you close on your home. Check with your real estate agent about these options.

There are also renovation projects that don’t have to cost so much. Painting your home is an inexpensive way to get major results. There is nothing like the look and smell of a freshly painted home. It’s the emotional factor you want people to have as they enter and tour your home. Other great projects include landscaping for curb appeal, installing new light fixtures; and having your home decluttered and staged.

2. Understanding the Importance of Pricing

Oftentimes, homeowner gauge the value of their homes on those that sold months ago in their neighborhood. There is much more to pricing a home to consider. Important factors include design (3 story versus one-level); materials (brick versus siding), age of the home, neighborhood, condition, land, upgrades and additions, etc. Keep these factors in mind and also consider how quickly the real estate market shifts. Work with a real estate agent with experience you trust to price your home correctly.

3. Work with a Professional

Be sure to work with a real estate agent you trust to give you good advice and be able to explain their strategy in terms of selling your home at this time. You want an agent with experience in working in shifting market and in negotiating on your behalf in challenging times.

4. Offer Incentives

Because you know one of the main obstacle in selling your home will be based on home affordability, work with your agent to offer incentives to potential buyers who are interested in your home. Consider offering seller credit for them to bring down their monthly mortgage payments. One option is to offer seller credit for a 2-1 Buydown through their mortgage lender. This program allows the rates to be brought down temporarily, usually at one rate for the first year and another rate in the second year, until the rate returns. This may appeal to buyers who are hoping rates will go back down in the next year or two, at which point they can refinance. Another option is to use the seller credit to buy down interest rate points or toward the down payment on the loan. These scenarios all help buyers who need cash assistance in order to purchase a home at a reasonable interest rate.

5. Now Wait!

Because you now know that homes are taking longer to go under contract, it’s time to let the time pass and be patient. The market six months ago saw home going under contract in 4 days. Now, homes take longer depending on where you live. It’s not a time to panic. Look at homes that just went under contract and see how long those took. This should give you a good idea of what to expect.

Bottom Line

Selling your home at a great price as the real estate market shifts is still very possible. It’s important to understand how the market has changed, what you must now focus on, and what to expect. This is how you are going to sell your home in a shifting market.

Questions? Contact me:
Denise Fuller
703-881-6947
Denise@HomeEstateRealty.com

REACH OUT NOW

Blog • November 18, 2022

Market Update – November 2022

by Denise Fuller

This month’s market update for Northern Virginia is marked by a continued trend of a slowdown in homebuying. This could be due to the higher interest rates and also the traditionally slow fall season. This month is also marked by extremely low levels of inventory (homes for sale). While last month, home prices were up from the previous year, home prices from the previous month were down. This month is different. The cost of a home is up 5% from this time last year and also up 2.5% from last month. Here is the market update for November 2022 highlighting unpredictable home prices.

What Agents are Seeing

The month of October for most agents was a slower, as is usual for this time of year. According to Bright MLS Home Demand Index, which is a 14% drop from the previous month and 29% lower from this time last year. There are less requests for showings though open houses were well attended. Some buyers we spoke to said they just starting to look again since the summer. They were very discouraged having to compete with so many buyers and feel more comfortable now. They are also not in any rush to buy a home, hoping interest rates will improve. It is interesting to note that the top 5 “in-demand” counties (based on requests to see homes) are Arlington, Prince William County, Alexandria City, Manassas City, and Stafford.

Statistics

Using data from MarketStats by Showing Time, the median sale price for a home in Northern Virginia is now $599,900, up from $570,000 the previous month. This is a 3% increase from the previous month and 5% increase from this time last year. The first table below shows how, in general, home prices are going up by County. Last month, home prices dropped by almost 2% but it seems that was short lived as they are now back up. It seems that home prices are as unpredictable as mortgage interest rates.

unpredictable home prices market update northern virginia november 2022 — MEDIAN HOME PRICES BY COUNTY IN NORTHERN VIRGIINIA. SOURCE: SMARTCHARTS

By the end of October 2022, there were 2,720 homes sold. This is 23% decrease from last month and 33% decrease from last year. This could be due to the traditionally slow buying season and lack of inventory of homes for sale. It is important to note that 2021 was not a traditional real estate year as the pandemic along with very low mortgage interest rates created a buying frenzy with homes selling well over asking price in record time.

unpredictable home prices market update november 2022 northern virginia — NUMBER OF NEW LISTINGS (HOMES FOR SALE) BY COUNTY IN NORTHERN VIRGINIA. SOURCE: SMARTCHARTS

The average number of days it took to sell a home is now at 25, up 1 days from last month and up 6 days from last year.

The median price per square foot per home is now $282. This is up 2% from last month and up 6% from last year.

The total value of homes sold amounted to $1,600,703,372. This is down 7% from last month and down 34% from this time last year.

Month’s Supply

The month’s supply was 1.66; which is up slightly from last month’s figure of 1.58 and up from 0.97 from last year this time. This number shows how many months it will take to sell all the current homes now on the market. Most consider a balanced market, where buyers and sellers of homes are on the same playing field, to be about 3-6 months supply. It illustrates how low inventory really is at this time.

Mortgage Interest Rates

According to Nerd Wallet, the annual percentage rate on 30-year conventional mortgages is at 6.532. This is down 10 basis points from the previous week and up 347 basis points (about 3 percent higher) than last year. As you can see from the graph below, interest rates have been unpredictable day to day though they are still coming down from their highest point when rates hit 7.28 on October 23. Everyone is hoping rates will not go back to that level.

Advice to Sellers

Advice to Buyers

Bottom Line

The market update for November 2022 shows that there are less and less homes available for sale and home prices are unpredictable. The future is still uncertain as inflation and interest rates remain high. Still, life goes on and personal situations will call for either a home sale or home purchase. Thankfully, Northern Virginia remains a great place to live and own a home.

WATCH THE LATEST VIDEO – MARKET UPDATE FOR NOVEMBER 2022

Questions/Concerns? Please contact me.

Also feel free to compare this update with last month’s Market Update – October 2022

Blog • November 6, 2022

Selling Your Home this Fall

by Denise Fuller

^{5 THINGS YOU CAN START DOING NOW}

While spring is traditionally the best time of year to sell a home, the fall season cannot be ignored. As mortgage interest rates hover over 7%, many buyers are getting over the initial shock. Lenders are doing their part offering programs, like the 2-1 Buydown Program, that help with monthly mortgage payments. If you’re thinking of selling your home in the near future, it’s not a bad idea. Additionally, there are things that you can start doing to have your home looking its best. If you’re selling your home this fall, here are 5 things you can start doing now.

1. Decluttering

This is a great first step considering this is also the season to decorate and entertain in your home. With the pandemic concerns beginning to diminish, many are excited about the opportunity of socializing again. Why not start by giving your home a deep clean and declutter activity.

In decluttering, consider furniture that makes your home look overcrowded and small. Leave your best pieces in your home and consider a garage sale or online selling for these items. Why not make a little cash as an incentive?

In case you don’t know what “clutter” looks like, take a look at the images above. If any of your spaces look like this, it may be time to declutter. Many of us, including me, struggle with having too much “stuff”. This is a great process to clear your spaces and your mind. I read a great blog by Nettie Owens and can’t wait to catch her next workshop “7 Ways to Cure Your Too Much Problem“.

By throwing away unusable items, recycling, donating to charity, or selling online or through a neighborhood yard sale, you create a tidier home ready to show to prospective buyers. When recycling, consider the guidelines for recycling products in your county. Also know that glass can be recycled in purple bins. Know your county’s guidelines. How to recycle glass in Northern Virginia. Include all areas of your home including closets and drawers.

Without clutter, rooms appear larger and prospecting buyers don’t think you have an issue with storage space. Everything seems to fit and then some. This is what your home should look like. Keep in mind this is what is should look like when it’s up for sale. This is not realistic for everyday living. The idea is that you have less to put away when the time comes. Most sellers ask for 2 hours notice before each showing to allow them time to put away the excess and tidy up the home.

With a neat and tidy home, buyers will be able to admire the features and amenities of you home so much more.

2. Cleaning

You will also need to clean the house from top to bottom. This includes deep cleaning the spaces we often avoid. This includes under the sink, on top of and under the refrigerator, crown moldings,, hard to reach light fixtures, windows, and doors. This is so easy to start doing about a month before you are ready to sell your home so the tasks don’t overwhelm you. This is also the time to ask for help.

We usually share this checklist with our homes sellers before they put their home on the market. It’s extensive but easy to break down into portions. There is also one for the outside of your home, we’ll share next week.

Download our Home Selling Cleaning Checklist

DOWNLOAD CLEANING CHECKLIST

3. Lights Camera Action

This one is all about the light. Lights, natural and artificial, are probably the most important effect you can control in setting a mood and showing a home well.

By making sure your windows, window sills, blinds, and curtains are all deep cleaned, you’ll be ready to let all the light into your home you possibly can. Don’t have large windows and want to consider a renovation project before you sell, this may be the one. Having natural light flood your home has a huge effect. It brings nature inside without the bugs.

Don’t have windows or a budget for renovations? Firstly, there are solutions for getting work done to your home and paying the contractor at the closing table. Please reach out to find out about this amazing program offered through Home Estate Realty | Coldwell Banker Realty.

Another great options is to invest in good lamps for the home. Use in areas of your home that are not well lit. It will be money well spent. There are also great finds at garage sales, discount stores, and online.

4. Curb Appeal

When buyers drive up to your home, your lawn, yard, and front walkway are their first impressions. Don’t go overboard spending too much money. According to most experts, the basics apply here. Keep your yard clean of leaves and other debris. Also trim the hedges and remove dead plants, week the walkways and flowerbed, and keep the lawn mowed.

Funny story, I got dinged by the HOA in my community for weeds. So bad! It was the one place of the yard I never go into and that’s behind the house, down from the deck. Well, there was a forest coming through the lattice work and I didn’t even know to. How embarrassing! It turned out to be a great bonding experience for my son and I. Considering I just moved here, I’ve since forgiven myself and plan to add that walk down into the back yard into my weekly routine.

Add the some color and fresh mulch to your garden for great curb appeal

Closer to getting your home on the market, I recommend adding fresh mulch and a pop of color to your garden for that extra “wow” factor.

5. The Wow Factor

Speaking of the “wow” factor, the second “first impression” buyers will have is entering your front door. If you have the budget, this is a great area to place your best furniture, art, rug, and decor pieces. We believe this often sets a great tone for the rest of the buyer’s home tour. Not sure how to decorate your entryway or rooms? We highly recommend consulting with a stager who can use your furniture to your best advantage. It’s why we offer our clients a FREE Staging Consultation when they choose us to sell their homes.

Bottom Line

If you’re thinking of selling your home in the fall of 2022, these tasks will help you to be ready when the time comes. Reach out when you’re ready to sell your home in Northern Virginia.

QUESTIONS?

Call Denise at 703-881-6947
Email: Denise@HomeEstateRealty.com
Other Blog Articles: https://homeestaterealtycb.com/blog/my-blog

Blog • Homes For Sale • September 23, 2022

7505 Stonegate Dr. Fredericksburg VA 22407

by Denise Fuller

This brand new custom home is expected to be completed by October 10, 2022. This jewel sits on 48 acres in the private Stonegate Manor community complete with stream high speed internet, and ATV and walking/running trails. Presenting … 7505 Stonegate Dr. Fredericksburg VA 22407

MORE DETAILS

This is a rare find in Spotsylvania County considering the size of the property. This 6 bedroom, 3.5 bath, 3,600+ sq. ft. home in the Stonegate Manor community may just be THE ONE. Quality construction includes a main level master bedroom suite, tall ceilings, hardwood floors, brand new appliances, gas cooking, wood burning fireplace, and lots of natural light. As an additional benefit, the other side of Lick Run is part of a conservation easement providing an additional privacy buffer of over 20 acres. Seller credit toward a driveway of your choice. Builder warranty conveys. Taxes TBD.

SALE PRICE: $1,050,000

NEED MORE INFORMATION?
CALL/TEXT: 703-881-6947

Blog • September 13, 2022

Market Update -August 2022

by Denise Fuller

Real Estate Market Update – August 2022

All the talk is about the market shifting. With inflation and the talk of recession, many buyers have stopped looking as more homeowners are putting their homes on the market. Real estate agents in Northern Virginia are feeling the change in tides. Here is the real estate market update August 2022.

What Agents are Seeing

As summer is coming to an end, there are less buyer demand and agents are noticing. There are less people attending open houses; there are less showings of homes for sale, and there is less interest overall. Homeowners are also experiencing a longer wait time for offers to come and fewer offers overall. Additionally, home buyers are negotiating more than usual to get better prices, home inspections and conveyances. These are changing times, indeed.

Statistics

Using data from MarketStats by Showing Time, the median sale price for a home in Northern Virginia is now $619,000, down from $640,000 at the end of June. This is a 3% decrease. It is a 5% increase, however, from the same time last year.

By the end of July 2022, there were 3,126 homes sold. This is 20% decrease from last month and whopping 30% decrease from last year.

The average number of days it took to sell a home is now at 14, up 4 days from last month and down 2 days compared to last year

The median price per square foot per home is now $312. This is up 2% from last year and up 7% from last month.

The total value of homes sold amounted to $2,222,457,026 This is down 24% from this time last year and down 20% from last month.

Month’s Supply

The month’s supply was 1.3; which is up from last month and last year this time. This number shows how many months it would take to sell all the current homes now on the market. Most consider a balanced market, where buyers and sellers of homes are on the same playing field, to be about 3-6 months supply. This figure has gone up significantly and indicates we are heading to a more balanced market.

Mortgage Interest Rates

According to Nerd Wallet, mortgage interest rates on a 30 year conventional are at about 5.094%. This is as of August 11, 2022 and is actually down 2 basis points from last week.

Advice to Sellers

I’m advising my clients thinking of selling that inventory is still on the side of sellers but they should be prepared to wait a while before getting an offer and going under contract. It’s very important at this time to have their homes stand out among a growing inventory. This is where a good real estate agent comes in. Using marketing, staging, and pricing strategies is important as ever.

Advice to Buyers

I tell buyers that things are finally become more balanced and it’s time to look for their dream home. The market is such that they don’t have as much competition and can negotiation repairs and even prices in some cases.

Bottom Line

The market update for August 2022 shows that Northern Virginia has a stable and strong real estate market. Home prices are still rising year over year and there are more choices of cities and neighborhoods to choose from before the beginning of the school year.

Questions/Concerns? Please contact me.

Also feel free to compare this update with last month’s Market Update – July 2022

Denise Fuller
Tel: 703-881-6947
Denise@HomeEstateRealty.com

Blog • August 25, 2022

How Inflation Affects the Housing Market

by Denise Fuller

We’ve all felt the effects of inflation. The cost of goods and services have gone up, sometimes dramatically. Groceries cost more now, shopping for furniture and bedding is scary, and the cost of used cars has also gone up. The question is. What about housing? While inflation can be somewhat unpredictable, we can look at a few key ways it’s been known to impact buying or selling a home. This article looks at how inflation affects the housing market.

What is inflation?

Inflation is the increase in the prices of goods and services over time. The level of inflation is determined by the broader impact of higher prices and is measured through a few different indexes. The most common index is the Consumer Price Index (CPI). CPI looks at the average cost of living, including transportation, food, and medical care. CNBC lists the 10 things that cost more in 2022. It helps to identify periods of inflation and how it influences the affordability of the cost of living.

Ultimately, a rise in inflation means a decrease in purchasing power. The dollar doesn’t go as far as it did before. Deflation, on the other hand, comes with an increase in purchasing power as prices of goods and services drop. So does inflation affect the housing market? YES IT DOES. Inflation affects the housing market.

Supply and demand

The law of supply and demand examines the relationship between buyers and sellers. This can be applied to the housing market. If the number of buyers needing homes remain constant and there are less homes up for sale, it means there is a Seller’s market. This means that each home for sale becomes more valuable and therefore buyers will pay more for it. This is what happened in 2020 when the pandemic and record low interest rates made buyers want to move at a time when sellers were fearful of moving. Now, interest rates have gone up and there are more homes for sale so the buying frenzy has gone away. Still, inflation will keep the prices of homes high, at least for now. When this happens, houses tend to sit longer on the market and their prices are sometimes reduced. Still, for sellers, the value of homes tends to go up in value year over year. Homeowners will still likely sell their home for more than they bought it for.

Questions/Concerns? Please contact me.

Denise Fuller
Tel: 703-881-6947
Denise@HomeEstateRealty.com

Blog • August 4, 2022

Shift in the Real Estate Market

by Denise Fuller

9 Indicators that the Market has Shifted

In hindsight, the market has shifted. As recession looms and mortgage interest rates spiked, many home buyers were no longer eager to find a home and many decided to give up all together. Still, homeownership is the dream of many who are frustrated with paying rent or need to move to an area for work. And life events make it mandatory that others pub their homes on the market. So what is this real estate market shift? Here are 9 areas that help to explain what is happening.

1. BUYER DEMAND

Buyer demand has gone down. There are now less people looking for homes to buy. Real Estate Agents, like myself, are seeing less showings on homes for sale and less people attending open houses. Even Bright MLS has reported a decreased demand in the DC metropolitan area since last year.

2. DAYS ON MARKET

Days on Market for homes for sale has gone up. This means that it now takes longer for a Seller to receive an offer, negotiate, and agree to terms with a Buyer. While many homes for sale would “fly off the shelf” a few months ago, it’s not uncommon to see homes still in Active status two weeks later.

3. NUMBER OF OFFERS

Affecting the Days on Market indicator is the number of offers. Many agents are reporting that they are receiving less offers on the homes they have for sale than in the past. This makes Sellers more likely to accept their first reasonable offer. The likelihood of a qualified buyers getting the home they want is now better.

NORTHERN VIRGINIA REAL ESTATE MARKET INDICATORS

4. PRICE DROPS

There are more homes dropping the price of the home after it hits the market. For example, a home may be listed originally at $500,000 and after 2 weeks has not received an offer or had many showings. The Seller may then decide to drop the price by $20,000 to allure more qualified buyers and hopefully negotiate a contract. This is happening more and more as the market shifted.

5. MORE CONTINGENCIES

Once homes go under contract, there are more contingencies tied to the sale. In the strong Seller’s market, many contingencies like home inspection and appraisals were being waived by Buyers to be competitive and get their offer accepted by a Seller reviewing multiple offers. For the most part, this is happening less and less. Home inspections are back and Buyers and Sellers are negotiating repairs. Buyers are also no longer willing to take on the added cost if a home does not appraise to the loan amount. It means that if a home does not appraise up to the sale price, there is an option to negotiate.

6. SOLD PRICE VS. ORGINIAL LIST PRICE

The ratio of the amount a home sells for and the amount that was asked is decreasing. In the height of the Seller’s market, the sold price was on average 105% higher than the original asking price. Still, homes are being sold for a higher amount than the asking price but this percentage has fallen to about 101%. According to InsideNOVA, “Sellers in the five largest Northern Virginia localities, received, on average, more than original listing price for homes that went to closing in June, according to new data”. This is a big indicator of the shift in the real estate market.

7. APPRAISAL VALUES

Something that Sellers and Buyers should be aware of is that some appraisers are using more recent sales to determine market conditions. This is usual when market conditions are changing rapidly as they did in 2020 during the pandemic. Now, again, the market is shifting back to more normal conditions so more recent sales may show homes having less value than during the height of the Seller’s market.

8. BACK ON THE MARKET

More homes are “back on the market” after going under contract. There are many reasons for this. As interest rates rose, some Buyers qualification changed may have changed and they were no longer able to pay a higher monthly mortgage. Without financing, contracts may have to be voided. With contingencies like home inspection and appraisals back on the table, there are also more opportunities for there to be disagreement and a contract falling apart.

9. SALES PRICE

According to the Northern Virginia Association of Realtors (NVAR), the Sales Price of homes in Northern Virginia continue to increase despite buyer demand and market conditions changing. While home values were increasing as much as 20% in 2020, the price is now at a more normal 5% growth rate.

WATCH THE RELATED VIDEO …

Bottom Line

Northern Virginia has seen a shift in the real estate market, Still, it’s a great place to buy or own a home. The value of homes consistently go up each year despite market conditions.

Questions/Concerns? Please contact me.

Denise Fuller Tel: 703-881-6947 Denise@HomeEstateRealty.com

Blog • July 14, 2022

Market Update -July 2022

by Denise Fuller

Real Estate Market Update – July 2022

All the talk is about inflation. Gas prices, electricity, food are all going up in costs. The stock market is taking a serious blow. Inflation is now at 9.1%, an all time high in 40 years, according to Forbes. And the Northern Virginia area is being affected as well. This month’s market update is showing a slowing seller’s market and a shift to a more balanced market. For the first time since the start of this year, home prices have fallen. Here is the real estate market update July 2022.

Statistics

Using data from MarketStats by Showing Time, the median sale price for a home in Northern Virginia is now $640,000, down from $660,000 at the end of June. This is a 6% increase from the same time last year but a 3% drop from the previous month.

The month’s supply for June was 0.98, up from 0.7 last month and last year this time. This number shows how many months it would take to sell all the current homes now on the market. Most consider a balanced market, where buyers and sellers of homes are on the same playing field, to be about 3 months supply. This figure has gone up significantly and indicates we are heading to a more balanced market.

Mortgage Interest Rates

According to Nerd Wallet, mortgage interest rates on a 30 year conventional are at about 5.497%. This is as of July 14, 2022 and is actually down from the 6% reported June 14. The Federal Reserve announced yesterday that it will again raise interest rates, possibly as high at 1 full point.

This image has an empty alt attribute; its file name is inflation-1024x585.png

What Agents are Seeing

With the Summer in full swing, inventory of homes is improving and there seems to be less buyers. Open houses are not as well attended, it takes longer to get contracts in on homes, and there are less offers coming in. Still, it is most certainly a SELLER’s MARKET.

This trend is expected to continue through to the end of the year with the market becoming more balanced for buyers and sellers. It means homes will stay on the market longer. Homes in great condition and in sought-after areas will continue to be in high demand. Homes needing more repair will take longer. The longer the homes stay on the market, the more buyers can negotiate on better prices.

HOME DEMAND INDEX

According to Bright MLS’s Home Demand Index report for July, the Northern Virginia area continues to have a healthy and moderate demand by buyers. “This Home Demand Index (HDI) and accompanying economic research measures and tracks housing demand, home prices, and home buying activities by analyzing property data gathered from real estate agents, home sellers, and homebuyers involved in the viewing, showing, buying, and selling of homes,” according to Bright MLS. The top 5 counties in Northern Virginia with the highest demand are (in order of ranking: #1 Arlington (208); #2 Manassas City (181); #3 Prince William (175); #4 Alexandria (174); and #5 Falls Church and Stafford (145).

What Does This All Mean?

The data shows that there is still a shortage of homes on the market. With this scarcity of homes for sale compared to buyers’ demand, seller’s are still in a good position. Still , for how much longer, is uncertain. The market is shifting toward a more balanced equation.

Bottom Line

The market update July 2022 shows that Northern Virginia remains a great place to own real estate. Home prices keep rising and demand to live in these great counties and communities remain high. While stock and other investments don’t provide a good return, this area is stable and strong with no signs of letting up.

Questions/Concerns? Please contact me.

Denise Fuller Tel: 703-881-6947 Denise@HomeEstateRealty.com

By the end of June 2022, there were 3,871 homes sold. This is a whopping 26% less than last year’s figure AND a 6% decrease from the previous month. This reflects the lack of inventory in the housing market. This image has an empty alt attribute; its file name is Market-Update-May-2022-1-1024x1024.png

The average number of days it took to sell a home is now at 10, up one day from last month yet down by one day compared to last year when it took 11 days to get a home under contract.

The median price per square foot per home is now $290. This is up 8% from last year and down 2% from last month.

The total value of homes sold amounted to $2,786,979,177. This is down 20% from this time last year and down 6% from last month.

Month’s Supply

Mortgage Interest Rates

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What Agents are Seeing

HOME DEMAND INDEX

What Does This All Mean?

Bottom Line

Questions/Concerns? Please contact me.

Denise Fuller Tel: 703-881-6947 Denise@HomeEstateRealty.com

Blog • June 23, 2022

5 Tips for Making the Most of Your Outdoor Space

by Denise Fuller

We all want to spend as much time as we can outside during the summer months. There’s nothing quite like a relaxing summer day in the backyard with friends, unwinding after a long day, hosting a barbeque or enjoying an evening under the stars around the firepit. The problem is … how do we make our outdoor spaces more inviting. Here are 5 Tips for Making the Most of Your Outdoor Space.

1. Bring Inside Decor Outside
More and more, people are treating their backyard spaces as an extension of their living space. From outdoor pergolas to string lights, trendy rugs and comfy, weatherproof sectionals and lounge chairs, homeowners are creating stunning open-air outdoor living spaces. You don’t even have to have a huge space, you can add smaller pieces to your deck or patio to create a relaxing, cozy sanctuary. Whatever your indoor style is, you’re sure to find similar outdoor pieces.

2. Inspirational Botanicals
The right plants, flowers and planters can make all the difference when it comes to creating a warm, inviting and colorful outdoor space. With so many stylish planters available, you can easily find ones that match your style. Fill them with a variety of herbs, flowering annuals, cactuses, plants and shrubs. If you live close to a farmers’ market, be sure and check them out as they typically have a huge variety of cost-effective flowers, plants and herbs to fill your yard, patio or balcony.

3. Small Space Solutions
There are tons of creative ways to transform a small space and make a big impact. Start with some lively décor, potted plants, outdoor pillows, candles and small scale furniture. Consider a vertical garden where you can plant your favorite herbs and vegetables. Adding string and solar lights can also help make a space feel extra cozy. And when it comes to furniture, think about a bistro set for casual dining, foldable and stackable chairs or a small loveseat and ottoman. There are tons of creative ways to make a big impact in a smaller space.

4. Shade Your Outdoor Spaces

Direct sun exposure for prolonged periods can be harmful to your skin, not to mention squinting to see other people isn’t ideal for conversation. Patio umbrellas help block the sun, but they can get knocked over by wind or rain and don’t always provide an area of shade large enough for everyone to use. This shade sail is large enough to keep you and your guests cool and protected from harmful UV rays.

CANOPIES

Canopies and other overhead structures can reduce direct exposure from the sun, but on particularly hot days, the sun’s heat can be felt even in the shade. These patio misters provide a constant, gentle spray of cool water as you walk in and out from under an outdoor structure. Make sure you tell your guests ahead of time to avoid it if they prefer not to get misted.

5. It’s All in the Details

There are lots of natural-looking Bluetooth speakers that blend perfectly into any outdoor environment. If you place them strategically around the perimeter of your deck or patio, you’ll have a surround-sound setup so everyone can enjoy music no matter where they’re positioned. Don’t worry about putting the speakers away at the end of the night or before a storm since they’re waterproof.

FIREPITS

Firepits are another great idea. They can be a lot of fun to sit around, but you should always consider safety over fun. Most people make the mistake of using a stick to poke the fire, but that stick can easily catch fire and hurt someone. A lightweight and sturdy stoker lets you easily maintain control over the flames and logs from a four foot distance. It also comes equipped with a one-way air valve you can blow into to help the fire maintain its energy, which means you no longer need to crouch on the ground to blow on the perfect spot.

If you’re limited on outdoor space, these 5 Tips for Making the Most of Your Outdoor Space should help. Don’t let challenges stop you from creating the perfect outdoor oasis. Infusing your personality and style to your backyard, balcony or back porch is the perfect way to gain more living space and enjoy a place where you can enjoy more fun in the sun all summer long.

Denise Fuller

Market Update – December 2022

What Agents are Seeing

Statistics

Month’s Supply

Mortgage Interest Rates

Advice to Sellers

Advice to Buyers

Bottom Line

Questions/Concerns? Please contact me.

What is This Market Shift?

5 Tips for Selling Your Home Now

1. Repairs/Renovations

2. Understanding the Importance of Pricing

3. Work with a Professional

4. Offer Incentives

5. Now Wait!

Bottom Line

What Agents are Seeing

Statistics

Month’s Supply

Mortgage Interest Rates

Advice to Sellers

Advice to Buyers

Bottom Line

Questions/Concerns? Please contact me.

5 THINGS YOU CAN START DOING NOW

1. Decluttering

2. Cleaning

3. Lights Camera Action

4. Curb Appeal

5. The Wow Factor

Bottom Line

MORE DETAILS

What Agents are Seeing

Statistics

Month’s Supply

Mortgage Interest Rates

Advice to Sellers

Advice to Buyers

Bottom Line

Questions/Concerns? Please contact me.

Denise Fuller Tel: 703-881-6947 Denise@HomeEstateRealty.com

What is inflation?

Supply and demand

Why homeownership is valuable

Inflation isn’t forever

Bottom Line

Questions/Concerns? Please contact me.

Denise Fuller Tel: 703-881-6947 Denise@HomeEstateRealty.com

1. BUYER DEMAND

2. DAYS ON MARKET

3. NUMBER OF OFFERS

4. PRICE DROPS

5. MORE CONTINGENCIES

6. SOLD PRICE VS. ORGINIAL LIST PRICE

7. APPRAISAL VALUES

8. BACK ON THE MARKET

9. SALES PRICE

Bottom Line

Questions/Concerns? Please contact me.

Denise Fuller Tel: 703-881-6947 Denise@HomeEstateRealty.com

RELATED VIDEO

Statistics

Mortgage Interest Rates

What Agents are Seeing

HOME DEMAND INDEX

What Does This All Mean?

Bottom Line

Questions/Concerns? Please contact me.

Denise Fuller Tel: 703-881-6947 Denise@HomeEstateRealty.com

Month’s Supply

Mortgage Interest Rates

What Agents are Seeing

HOME DEMAND INDEX

What Does This All Mean?

Bottom Line

Questions/Concerns? Please contact me.

Denise Fuller Tel: 703-881-6947 Denise@HomeEstateRealty.com

^{5 THINGS YOU CAN START DOING NOW}

Denise Fuller
Tel: 703-881-6947
Denise@HomeEstateRealty.com

Denise Fuller
Tel: 703-881-6947
Denise@HomeEstateRealty.com