Virginia july report 13

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2011

2013 2011

Quarter

second second JQuarter U LY

VIRGINIA VIRGINIA Home HomeSAleS SAleSRepoRt RepoRt

Analysis by the Virginia Center for Housing Research at Virginia Tech

速 速 Published by by Virginia association of reaLtors , the advocate for for Published Virginia association of reaLtors , the advocate realreal estate professionals andand property owners in Virginia. estate professionals property owners in Virginia.


Virginia Monthly Home Sales Report

July 2013

Virginia's Monthly Pace of Residential Sales Single Family, Townhomes, Condos

12,000

10,386 9,740

10,000 9,064

8,664 8,000

10,664 10,071

+16.2%

9,026

5,508

5,068 7,212

7,258

7,417

7,403

6,000

6,910

5,505

5,896

4,000

2,000

0

Apr-12 May-12 Jun-12

Jul-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 (p) (p) (p) (p) (p) (p) (p)

Jul-13 (p)

(p) indicates that this month’s numbers are preliminary. The numbers may change slightly as more data is reported.

The pace of Virginia home sales decreased slightly from June to July, but maintained a strong yearover-year increase of 16.24%. Virginia experienced a more substantial drop in sales in July 2012, but recovered some in August. This year we hope to see sales remain relatively steady as the summer ends and we move into fall.

Published by the Virginia Association of REALTORSÂŽ Analysis by the Virginia Center for Housing Research at Virginia Tech

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Virginia Monthly Home Sales Report

July 2013

$267,000

$250,000

$240,190

$230,000

$225,000

$242,529

$248,000

$235,000

$240,000

$248,000

$257,241

$258,000

$250,000

$239,000

$225,000

$210,900

$205,000

$225,000

$220,000

$240,000

$241,100

$245,000

$224,000

$215,000

Median Sales Price

$250,000

$273,500

Single Family Homes, Townhomes, Condos

$300,000

$284,050

Virginia Median Residential Sales Price

$200,000

+6%

$150,000

+13%

$100,000

(p) indicates that this month’s numbers are preliminary. The numbers may change slightly as more data is reported.

The median sales price decreased sharply this July compared to July 2011 and July 2012. Nonetheless, July sales prices are significantly higher than they were in 2011 and 2012. The median sales price in July 2013 ($273,500) marks a 6% increase from one year earlier ($257,241) and a 13% increase from two years ago. This overall growth in price trends is further evidence of recovery.

Published by the Virginia Association of REALTORSÂŽ Analysis by the Virginia Center for Housing Research at Virginia Tech

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Virginia Monthly Home Sales Report

July 2013

Virginia Monthly Residential Sales Volume Single Family Homes, Townhomes, Condos

4,000 3,659 3,443

3,500 3,117 Millions of Dollars of Residential Sales

3,000

2,500

2,804

1,317

3,349

+23% 2,723

2,802

1,531

2,159

2,269 2,087

2,259 2,087

2,000 1,675 1,533

1,500

1,000

500

0

Apr-12 May-12 Jun-12 Jul-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 (p) (p) (p) (p) (p) (p) (p) (p)

(p) indicates that this month’s numbers are preliminary. The numbers may change slightly as more data is reported.

The total volume of real estate sold in Virginia during July 2013 ($3.3B) is a significant 23% increase in the volume of real estate being transferred compared to July 2012. In addition, the decrease in volume from June to July this year is much less significant than last year. This less significant seasonal response is a sign of the market stabilizing.

Published by the Virginia Association of REALTORSÂŽ Analysis by the Virginia Center for Housing Research at Virginia Tech

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Virginia Monthly Home Sales Report

July 2013

Virginia Average Days On Market Single Family Homes, Townhomes, Condos

120 106 97

100

Average Days On Market

88 80

89

99

101 101

92

103 102 91 84

88 80

81

83

89

86

90

93

94 85 77

-9%

72

-17%

60

64

67

40

20

0

(p) indicates that this month’s numbers are preliminary. The numbers may change slightly as more data is reported.

Virginia homes continue to sell faster than they have in 7 years. Virginia experienced a 17% decline in this metric over the past year, even though houses remained on the market an average of three days longer compared to last month. The year-over-year declines shown in the graph are evidence of the strengthening housing market.

Published by the Virginia Association of REALTORSÂŽ Analysis by the Virginia Center for Housing Research at Virginia Tech

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Virginia Monthly Home Sales Report

July 2013

Virginia Unemployment Rate

Jul-11

Oct-11

Jan-12

Apr-12

Jul-12

Oct-12

Jan-13

Apr-13

5.7%

5.5%

5.3%

5.2%

5.3%

5.6%

5.6%

5.6%

5.7%

5.8%

5.9%

5.9%

6.0%

6.0%

5.9%

5.9%

5.9%

5.9%

6.0%

6.2%

6.3%

6.5%

6.6%

6.6%

9% 9% 8% 8% 7% 7% 6% 6% 5% 5% 4%

6.6%

Source: Bureau of Labor & Statistics

Jul-13 (p)

(p) indicates that this month’s numbers are preliminary. The rate is subject possible change and finalization by the Bureau of Labor Statistics.

Virginia’s unemployment rate has risen steadily through the summer, but does not seem to have had a significant effect on the housing market. If the rate continues to increase into the fall, it will be hard to discern its effect on the market, as it is typical to see the market slow as we approach winter.

Average 30-Year Mortgage Interest Rates Source: FreddieMac

4.6% 4.4%

4.37%

4.2% 4.07%

4.0% 3.8% 3.6%

3.55%

3.60% 3.47%

3.4%

3.38%

3.35%

3.35%

Oct-12

Nov-12

Dec-12

3.41%

3.53%

3.57%

Feb-13

Mar-13

3.45%

3.54%

3.2% 3.0%

Jul-12

Aug-12

Sep-12

Jan-13

Apr-13

May-13

Jun-13

Jul-13

Average 30-year fixed mortgage interest rates rose 0.3 percentage points in July, but this increase did not seem to affect the Virginia housing market as volume remained relatively steady. This increase in interest rate may partially explain the relatively sharp drop in price. Buyers may be looking to make up for the higher interest rate by paying a lower price. In general, interest rates remain historically low.

Published by the Virginia Association of REALTORS® Analysis by the Virginia Center for Housing Research at Virginia Tech

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Virginia Monthly Home Sales Report

July 2013

The Virginia Association of REALTORS® (VAR) is the business advocate for real estate professionals in Virginia. VAR represents more than 28,000 REALTORS® active in all phases of real estate brokerage, management, development and appraisal. Our mission is to enhance our membership’s ability to achieve business success. All inquiries regarding this report should be directed to: Stacey Ricks, Director of Public Relations Virginia Association of REALTORS® 10231 Telegraph Road, Glen Allen, VA 23059 (804) 249-5716 Stacey@VARealtor.com www.VARealtor.com/HomeSales Information sourced from multiple listing services across the state with data compiled by RE Stats Inc. All information is deemed reliable but is not guaranteed. Figures might not match those reported elsewhere.

Published by the Virginia Association of REALTORS® Analysis by the Virginia Center for Housing Research at Virginia Tech

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