“Buyers are competing intensely for new listings,” says Derrick Swaak, partner and managing broker with TTR Sotheby’s International Realty in McLean and 2021 president of the Northern Virginia Association of Realtors (NVAR).
“The fierce residential real estate market in Northern Virginia has continued to roar into May, as April dollar sales volume was up over 50 percent versus the same month last year,” says Swaak.
Realtors in the NVAR region closed sales totaling more than $1.7 billion, representing more than 2,400 homes sold in April.
“This represents a 43 percent increase in the number of homes sold, with an average sales price increase of 8 percent compared to last year,” Swaak says.
While March weather may typically come in like a lion and out like a lamb, the same did not hold true for the region’s real estate market.
“In April there was a 9.9 percent month-over-month increase in the number of ‘All Pendings,’ which represents new contracts plus contracts carried over from March,” says NVAR CEO Ryan McLaughlin. “The number of listings also grew in April compared to March, with a 33.2 percent jump,” McLaughlin says.
The increase in new listings has not closed the gap on buyer demand.
“There is a misperception surrounding the lack of inventory, that fewer people are putting their homes on the market this spring,” says Swaak. “In reality, the number of new listings in April was up 76 percent compared to the same month last year. Instead, the lack of inventory is due to the brisk pace of sales,” Swaak explains.
“We are still seeing great demand for all types of residential housing, but particularly for single-family homes, both inside and outside the beltway,” Swaak says.
The average sales price to list price ratio was 102 percent in April, meaning that on average homes were selling above asking prices. And all-cash buyers are not uncommon, representing more than double the number of transactions in April compared to the same month last year.
“Buyers are competing intensely for new listings, particularly for moderately priced single-family homes,” Swaak says.
“It is not usual for new listings to attract a handful of offers within the first few days, many with waived contingencies and other perks such a free post-closing rent back for the seller,” Swaak says.