Tight Inventory Curbs Home Sales, Hikes Prices

The continuing decline in inventory has resulted in fewer home sales and higher prices in the Loudoun County market, according to an analysis of September data prepared by George Mason University’s Center for Regional Analysis for the Dulles Area Association of Realtors.

Among the highlight of the report are that the1,240 active listings in September were the fewest September listings in more than a decade and that the year-over-year decline in the number of monthly active listings continues the trend that began in July 2015.

The low inventory is likely to continue, as new listings declined 24.7 percent from August and 9.8 percent from September 2017. The 619 new listings in September were 14 percent below the five-year average for the month.

That’s all good news for home sellers. The low inventory resulted in increases to median sales prices pushed the share of the original list price received to new heights. Countywide, the median sales price increased to $485,000, a 5 percent increase over last year and the highest September price in more than a decade. Sellers received 98.2 percent of their original list price, 0.8 percentage points higher than the September five-year average.

Although only 430 sales closed in September—16.8 percent fewer than last year—most homes sell quickly. The median days on the market was 19 days in September 2018. That is a three-day increase from 2017, but that’s attributed mainly to detached homes, which increased from 24 days on the market in September 2017 to 29 days last month. The median days on the market for condos also increased, rising from 14 days in September of 2017 to 16 days in September of 2018. Townhouses sold faster, in an average of 12 days. Homes sold faster than last year in eight of Loudoun’s 11 ZIP code areas, led by 16-day declines in both Purcellville and Great Falls.

The decline in the number of September closed sales was the largest year-over-year decline since November 2013.

Read the full report at dullesarea.com.

The total of 1,240 active listings last month was the lowest in more than a decade.
Source: Dulles Area Association of Realtors/GMU Center for Regional Analysis
Median sales prices continue to increase, jumping 5 percent last month compared with September 2017.
Source: Dulles Area Association of Realtors/GMU Center for Regional Analysis

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