Virginia’s Inventory of Available Homes Plummets 40% in Five Years

2019 closes with dramatically low inventory across the Commonwealth

According to the 2019 Year-End Home Sales Report released by Virginia Realtors, the availability of homes for sale has shrunk considerably in the Commonwealth over the past five years.

At the end of December 2019, there was a total of 27,760 active listings, down more than 7,300 from the end of December 2018, a drop of 20.9%. The inventory level at the end of 2019 was down more than 40% from 2015.

In total, there were 126,305 home sales in Virginia in 2019, up 3.4% from 2018. In December 2019, the number of sales increased 10.6% over December 2018. The double-digit increase in sales in December is partially due to the relatively low number of transactions last December when the Federal government was shut down.

Home sales were up in all regions across the Commonwealth in 2019, with the exception of the Southside region, where the number of sales remained relatively unchanged. In Virginia’s largest region, the Northern region, sales were relatively flat both in December 2019, as well as for the year overall. A lack of inventory, rather than a lack of interested buyers, continues to be the primary reason for slower sales growth in the state’s Northern region.

The median price of homes sold in Virginia in 2019 was $295,000, up 3.5% over the median price in 2018. Home prices in Virginia have increased between 2 and 3.5% each year for the past five years. Virginia REALTORS® Chief Economist, Lisa Sturtevant, PhD, says, “Steady and consistent price growth reflects the strong demand for homeownership across the Commonwealth.”

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