NVAR January Statistics–Now is a great time to sell!

The Northern VA Association of Realtors (NVAR) January statistics are an interesting combination of trends. Medium home sales prices increased 13.75%, days on the market decreased 38%, inventory decreased 24%, and sales ticked up almost 1%, from last January.

The trend that we should also be aware of is how January compares to the last several months where the real estate market was greatly affected by buyers who were trying to take advantage of the expiring tax credit. Beginning in June, the number of monthly sales as a percentage of active listings averaged 26%. That percentage dropped dramatically to 18% in January. Interest rates continue to hover at or below 5%, and for the time being, inventory sits at what is considered a “normal” 6 month supply. The implication of this 18% statistic is that the real estate activity we witnessed last fall was largely fueled by the tax credit.

There is a great window of opportunity to sell right now before the tax credit expires. With low interest rates and the extension of the tax credit, there are buyers eager to buy their first home or take advantage of the move-up tax credit. These buyers do not have much to choose from right now so if you’re thinking about selling any time in the next year or so, now is the time to do it! Take advantage of these buyers because the statistics indicate that after the tax credit expires, they may not exist.

NVAR Real Estate Market Trend