The real estate market in Hampton Roads showed signs of less momentum in January 2016 than most recent months, but figures have remained on an upward trend. In comparing January 2015 and 2016, residential sales increased by double digits, while there was only a slight increase in settled sales. In contrast, the number of active listings decreased, affecting the months’ supply of inventory.
While other statistics show growth, the number of active residential listings declined from 2015 to 2016. With a decrease by 3.98%, this is the largest drop in homes for sale since June of 2013. Of the seven cities in Hampton Roads, Portsmouth (increased by 8.63%) and Hampton (increased by 1.42%) were the only two cities to have an increase in the amount of active residential listings. Norfolk had the biggest decline, with active listings falling to 11.17%. Active residential sales continue to decrease as the number of homes for sale are not able to compete with the number of listings changing to pending or sold.
The Hampton Roads months’ supply of inventory decreased year-over-year due the fact that new residential active listings are hitting the market at a slower rate. Currently, the months’ supply of inventory for Hampton Roads is 5.37 months, dropping from the 6.21 months’ of supply from the same time last year. Of the cities in Hampton Roads, Virginia Beach continues to have the lowest supply of inventory while Portsmouth and Hampton have inventory supplies greater than seven months. The region’s month supply of inventory rose month-to-month with a 3.87% increase for the first time in seven months. It is typical of the real estate market for the inventory to be higher in January than December.
Residential pending sales continue to remain strong for the beginning of 2016. The under contract sales increase by 11/55% for Hampton Roads from January 2015. Some cities, including Suffolk, Hampton and Chesapeake had the great increase in pending sales, rising 36.71%, 29.25% and 27.20%. from the same time last year, while Newport News and Virginia Beach had a % drop in pending sales.
While the rate at which home sold in Hampton Roads was expected to be slightly higher for the month of January than statistics show, it was overall still positive. Settled sales rose 4.69% when being compared to settled sales from January of 2015. The median residential sales price also rose to $206,001, which is an increase of 5.67% from January 2015 median price of $194,950.
If you are looking to buy or sell a home in Hampton Roads, our experienced agents at the Elite 757 Team can help you with your real estate needs. Please contact us today and we will be happy to help you with your new home search or get the best price for your current home!