The following represents the real estate market in Sterling, Virginia:
- Homes for sale: 460 (up from 397 in February, 383 in January and 374 in December, but a little under 489 one year ago)
- Homes sold: 111 (up from 55 last month and 71 in January and about the same as one year ago at 108)
- Average sold price: $318,038 (up from $308,463 last month and $264,597 one year ago. +20%)
- Average days on market: 30 ( very stable so far in 2010, down from 70 one year ago)
Since it is Spring, it is normal for inventory to rise and sales to also rise. After about three years of decline, the market bottomed in December 2008. Since then, buyers have been rewarded with increasing equity from price increases as well as paying down a small part of their mortgage each month with every payment.
Almost every month, for over a year, the median and average sales price in Sterling has been going up. In fact, it’s now 20% higher than one year ago. Plus, the time it takes to sell a house in Sterling is down to 30 days compared to 70 days this time one year ago. Available inventory is about where it was a year ago. The decline in days on market tells me that there is huge demand for well priced, good condition houses.
Investors and first-time buyers had previously been competing to buy the same houses on the market, which drove up house prices. Recent changes in policy by Fannie Mae and Freddie Mac on the sale of their foreclosures will give owner occupant buyers first preference during the early marketing period. This should result in making it easier for owner occupants to purchase without having to pay more than the original asking price. Owner occupants are better for pride of ownership and neighborhood stability.
Commentary and analysis provided by David Hess, Executive Vice President.
Search for homes in Sterling, VA and the entire DC Metro: www.averyhess.com