By Maura Stevens

The Northern Virginia real estate market remained strong in November despite the Thanksgiving holiday.  Last month, 2,124 homes sold which was an 11% increase over November, 2020.  Moreover, new listings dropped by almost 20% to 1,518 compared to 1,893 during the same time last year.

This does not bode well for buyers as once again the demand for homes outweighs the number of homes available.  Inventory in Northern Virginia in November was 40% below the five year average. 

There also has been rumblings of how interest rates will affect market activity.  The current rate for a 30 year fixed mortgage is hovering around 3.1% and there is talk of interest rates rising to the 4% level for 30 year fixed mortgages next year.  This is  an important factor for buyers on the hunt. Smart buyers will start the home buying process now while interest rates are still favorable and to get a jump on those buyers waiting for the traditional spring market timing of March and April.  

It is very much a sellers market and the current low inventory could result in the spring market ramping up as early as January 2022.  Savvy sellers should be working towards getting homes ready for sale now to take advantage of this sellers market.