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.

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.

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

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

Blog • June 9, 2022

Market Update – May 2022

by Denise Fuller

Real Estate Market Update – May 2022

MAY 31, 2022 BY DENISE FULLER LEAVE A COMMENT

Inventory is still low and it remains a seller’s market. Compared to last year, less homes are being sold. Still, buyers are not doing the same. There are less showings, less offers, and more contingencies in contracts. The days of multiple offers, $100,000 over asking, and going under contract in a day seem to be trends of the past. Buyers report fear of higher interest rates, inflation, and soaring home prices. So while the month’s supply of home is low, average home prices continue to rise. Here is the latest Real Estate Market Update for May 2022.

Statistics

Homes that Sold

The median sale price for a home in Northern Virginia is now $645,000, up from $615,000 at the end of March. This is a 10% increase from the same time last year and a 5% increase from the previous month.

By the end of April 2022, there were 3,645 homes sold. This is 15% less than last year’s figure BUT a 6% increase from March 2022 sales.

The average number of days it took to sell a home went up from 12 days to 9 days in April. This is 7 days less from last year and 3 days less than last month.

The median price per square foot for homes is now $301 per square foot. This is up 12% from last year and 2% from last month. The cost of homes continue to rise.

The total value of homes sold amounted to $2,539,171,510. This is down 8% from this time last year and up 7 % from last month.

Month’s Supply

The month’s supply for April is 0.7%. This is up from March’s figure of 0.58. 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 is significantly low especially for a Spring market but there seems to be good news on the horizon as more homes are coming on the market each week.

Mortgage Interest Rates

According to Nerd Wallet, mortgage interest rates on a 30 year conventional are at about 5.6%. This is as of May 31, 2022 and is up from 5% reported last month.

What Agents are Seeing

As the Spring market continues on, there are more and more homes on the market. Activity waned a bit in most locations as buyers tackled some bad weather, high mortgage rates, and higher priced homes. Still, the market is picking up and homes in sought after locations and in great condition are going under contract in just a few days. This trend is expected to continue as long as inventory stays low.

What Does This All Mean?

The data highlights the current lack of inventory. There are 16% less homes up for sale compared to this time last year. The good news is that it is also 10% more than last month’s inventory. It remains a sellers market and is projected to remain through Spring, at least. For now, Sellers still have the advantage while Buyers are finally seeing more options to choose from.

Bottom Line

The market is definitely changing as buyers are less likely to get into bidding wars on homes or waive all contingencies. It’ important to work with someone who has the information to prepare you for this unique and ever-changing housing market.

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

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

Blog • May 6, 2022

Market Update – March 2022

by Denise Fuller

Will the Spring make our housing depression go away?

The housing market has seen extremely low inventory of homes for sale for the past 2 months. It seems like things are finally turning around and there are more homes on the market than the previous month. Home value is also still on the rise. Spring, it seems, will help to make the housing depression go away.

Here is March’s market update looking at the latest statistics from MarketStats by Showing Time. It includes a good hard look at the data, what agents are seeing, and what it all means to you.

Statistics

Homes that Sold in November

The average sale price for a home in Northern Virginia is $666,457. This is an 10% increase from the same time last year and almost a 2.8% increase from the previous month.

At the end of February 2022, there were 2,269 homes sold. This is over an 11% increase from last year and a whopping 16% increase from January sales.

The total value of homes sold amounted to $1,478,052,519. This is down 3.5% from last year and up 17% from the previous month.

The average number of days it took to sell a home went up from 28 days to 21 days. This is the same amount of time from last year and 25% less time than last month.

The average price per square foot went up about 4% – from $307 per square foot in January to $319 per square foot in February. This is also a 10% increase in value from last year.

Homes that Came on the Market

By the end of February, there were 1,308 homes up for sale. This 5% more than the previous month and 38% less than last year this time.

The month’s supply for February is now at 0.58. This is about the same as it was last month at 0.64. This figure represents 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 is significantly low but keep in mind that this time of year is traditionally slow. February 2021 months supply was .

Mortgage Interest Rates

According to Housing Wire, higher mortgage interest rates do affect the housing market. Some buyers, especially investors, will want to take advantage of the rates before they get even higher. Still, some buyers will no longer be able to afford to buy a new home if the rates become too high.

“The mortgage company Freddie Mac reports the 30-year-fixed rate averaged 3.85 percent last week. That’s up .11 percent from the week before.”, according to the abc23 website. The gradual increase in mortgage interest rates are now certain so buyers have limited time left to take advantage of locking in good rates.

What Agents are Seeing

While January and February are typically slow months in the real estate market, the good news is that activity is picking up. There are more homes coming on the market each day and buyers are still facing waiving contingencies and above asking prices. This is expected to last at least a few more months. There also seems to be an increase demand for rentals as those prices are rising as well.

What Does This All Mean?

The data highlights the current lack of inventory and an increase in the value of homes. It remains a sellers market and is projected to remain through Spring, at least. For now, Sellers still have the advantage and Buyers are still trying to take advantage of historically low mortgage rates.

Bottom Line

The Spring, it seems, will help to make the housing depression go away. While inventory is low, the market still favors the Sellers. The forecast is for more of the same through Spring 2022.

SEE RELATED YOUTUBE VIDEO

Questions/Concerns? Please contact me.

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

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

Blog • May 4, 2022

Market Update – February 2022 – Low Housing

by Denise Fuller

Low Housing Inventory in Northern Virginia

As we head into the end of the winter season, more and more real estate experts are commenting on the very low housing inventory around the country. The number of active listings is down 25% from last year. In Northern Virginia, the same seems to be holding true. On average, the area saw a 28% decrease in active listings from last year. There is most definitely low housing inventory in Northern Virginia.

STATISTICS

Looking at number of closed home sales by county using Bright MLS data, it shows some areas more affected than others. While Prince William and Fairfax counties saw closer to the national average in home sales, Loudoun county experienced a 54% decrease from January 2021 and Fauquier had only a 12% decrease.

WHY AREN’T HOME OWNERS SELLING?

One reason for the low housing inventory in Northern Virginia is that we are in the winter season. Traditionally, this has always been a slow time for real estate. Most people are just not making major moves during this time compared to summer months when the weather is better and kids are out on break.

Another reason is that those who have considered selling don’t think this is a good time to move. According to a recent survey by Realtor.com, 1 in 4 potential home sellers said they will not list their homes because they would have no where to move to. The market for buyers is that difficult. They are afraid of not being able to compete with buyers for existing homes. Realtor.com Chief Economist Danielle Hale said, “With housing costs rising, as home prices and mortgage rates both increase, affordability is more important than ever to households. Data suggests that this may be as true for sellers, many of whom will also purchase a new home, as it is for homebuyers.”

WHAT ARE BUYERS TO DO?

So with low inventory and high demand, buyers are still facing competition when submitting an offer on a home. Wanting to take advantage of low mortgage interest rates, buyers have three options: (1) be prepared to pay well over the asking price on homes and waive some contingencies, (2) wait to buy and risk high interest rates, or (3) consider sectors of the housing market like condos that are not going through the same jumps in price.

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BOTTOM LINE

Some surveys suggest that homeowners will begin selling their home in the next 3-6 months. Until then, the market appears to remain in the seller’s advantage.

Questions?

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1. Decluttering

2. Cleaning

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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

RELATED VIDEO

Statistics

Homes that Sold

Month’s Supply

Mortgage Interest Rates

What Agents are Seeing

What Does This All Mean?

Bottom Line

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

Will the Spring make our housing depression go away?

Statistics

Homes that Sold in November

Homes that Came on the Market

Mortgage Interest Rates

What Agents are Seeing

What Does This All Mean?

Bottom Line

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

Low Housing Inventory in Northern Virginia

STATISTICS

WHY AREN’T HOME OWNERS SELLING?

WHAT ARE BUYERS TO DO?

BOTTOM LINE

Denise Fuller (703) 881-6947 Denise@HomeEstateRealty.com www.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

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

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

Denise Fuller
(703) 881-6947
Denise@HomeEstateRealty.com
www.HomeEstateRealty.com