We take a look at what is happening in the Northern Virginia real estate market.

December was another record month for the Northern Virginia real estate market.  With mortgage rates at historic lows and buyer demand unrelenting, this strong market is expected to continue into the first quarter of 2021.

December is typically a slower month as consumers delay making decisions about buying or selling properties during the holidays. Not this year. December saw historic numbers in real estate transactions.

There were 1,955 homes sold in December, 2020.  This is a 28% increase over December 2019, and surpassed the year over year increases for the past five months. The days on market for December 2020 was 21 days – a decrease of 30% over December 2019 of 30 days. And the average sales price increased to $676,724, a 5.44% increase over December 2019 average sales price of $641,789.

With homes continuing to sell quickly and for more money it continues to be a sellers market. But there is some encouraging news for buyers.  There was an increase in inventory last month. New listings were up by 53.25% to 1,367 in December 2020, more than doubling from 892 new listings in December 2019.

With the increase in new inventory for December, buyer demand still strong and interest rates still at historic lows, we expect the market to stay robust into February.