Sterling, VA Market Report 10/03/11

Moving into Fall of 2011, the Sterling Market has seen a great resurgence of the average sales price — up nearly 16% over August, 2010.  2010 saw this market hit extremely hard with foreclosures.  Many of these homes had been totally abandoned and sat vacant for months at a time.  With the decrease in the number of homes on the market in substandard conditions the average sales price has recovered very nicely.

Statistics for zip codes 20164, 20165, and 20166 -

All indications are that the Sterling market will continue to enjoy a steady increase in value.  While Loudoun County has seen the average sales price hold steady year over year, this is a refreshing highlight for the Sterling Market, hit so hard by the distress property sales of last year.

Information obtained from statistics supplied by Metropolitan Regional Information Systems, and analysis and comment by Jim Agnew, Managing Broker, Avery Hess, Realtors, Dulles/Westfields Regional Office

Sterling, VA Market Report 2/16/11

Last month I posed the question, “Are prices going down in Sterling?” I also said, “One month does not make a trend.” So this month we find out what happened.

See the details for Sterling below:

• Homes for sale: 169 for sale in January (Way down from the 234 for sale at the end of December and down from 205 in January last year.)
• Homes sold: 71 sold in January. (Down from 76 in December and 76 in January last year when there was tax credit in place.)
• Median sold price: $291,833 (up from $281,917 in December and $276,500 one year ago.)
• Average days on market: 52 (way up from 39 days one year ago)

Last year at this time we still had a homebuyer tax credit in place, and the comparisons are still hard to match.

Are prices falling? With stable employment and low interest rates, I cannot imagine why prices would not be stable. Sterling is still way above the December lows of two years ago. Sterling has a great housing stock of all sizes, prices and ages. At the present rate of sales and inventory, Sterling has less than a three months supply of homes, and six is considered a balanced market. So prices should be jumping like crazy.

Commentary and analysis provided by David Hess, Executive Vice President.
Search for homes in Sterling, VA and the entire DC Metro:www.averyhess.com

Sterling, VA Market Report 8/5/10

The following represents the real estate market in Sterling, Virginia:

• Homes for sale: 467 for sale at the end of June (very stable! 454 in May, 470 in April, 460 in March and down from 488 one year ago.)
• Homes sold: 133 sold in June. (Compared to 132 in May, 121 in April, 111 in March, but down from 159 one year ago when prices were cheaper.)
• Average sold price: $365,113 (way up from $319,844 one year ago.)
• Average days on market: 39 ( down from 43 in May and down from 64 days one year ago)

Note that in the past year prices in Sterling have risen from an average of under $320,000 to over $365,000. This is an increase of 14%. This 14% increase has had the effect of eliminating some lower income buyers from the housing market. Isn’t that interesting? While the media keeps talking about falling prices and shadow inventories, prices in Sterling are up 14% per year for two years in a row. The effect, even with the lowest rates in years, is that some folks are already priced out of the market.

For those hearty souls who had the courage to buy since the market bottomed in December 2008 they have been rewarded with increasing equity from price increases as well as paying down a small part of their mortgage each month with every payment. Not to mention the bragging rights of telling their friends at parties about the great real estate deal they got back in…

Commentary and analysis provided by David Hess, Executive Vice President.

Search for homes in Sterling, VA and the entire DC Metro: www.averyhess.com

Sterling, VA Market Report 6/8/10

The following represents the real estate market in Sterling, Virginia:

• Homes for sale: 470 (up from 460 last month and down from 507 one year ago.)
• Homes sold: 121 (up from 111 last month but pretty stable compared to one year when there were 123 sales)
• Average sold price: $328,097 (up from $318,038 last month and $286,037 one year ago. +14%)
• Average days on market: 23 ( down from 30 last month and very stable so far in 2010, down from 86 one year ago)

Here we are Post-Tax Credit. The predictions of Doom & Gloom seem not to have panned out. Folks are still buying and selling as they have for generations, without government subsidies. Today’s prices are still great values and affordability is at historic highs due to exceptionally low interest rates. Sterling has been an active market and the price increases and reduced selling time are proof of that.

It remains a fact that the market bottomed in December 2008. Buyers who have purchased since then have been rewarded with increasing equity from price increases as well as paying down a small part of their mortgage each month with every payment.

Commentary and analysis provided by David Hess, Executive Vice President.

Search for homes in Sterling, VA and the entire DC Metro: www.averyhess.com

Sterling, VA Market Report 5/4/10

The following represents the real estate market in Sterling, Virginia:

• Homes for sale: 460 (up from 397 in February, 383 in January and 374 in December, but a little under 489 one year ago)
• Homes sold: 111 (up from 55 last month and 71 in January and about the same as one year ago at 108)
• Average sold price: $318,038 (up from $308,463 last month and $264,597 one year ago. +20%)
• Average days on market: 30 ( very stable so far in 2010, down from 70 one year ago)

Since it is Spring, it is normal for inventory to rise and sales to also rise.  After about three years of decline, the market bottomed in December 2008. Since then, buyers have been rewarded with increasing equity from price increases as well as paying down a small part of their mortgage each month with every payment.

Almost every month, for over a year, the median and average sales price in Sterling has been going up. In fact, it’s now 20% higher than one year ago. Plus, the time it takes to sell a house in Sterling is down to 30 days compared to 70 days this time one year ago. Available inventory is about where it was a year ago. The decline in days on market tells me that there is huge demand for well priced, good condition houses.

Investors and first-time buyers had previously been competing to buy the same houses on the market, which drove up house prices. Recent changes in policy by Fannie Mae and Freddie Mac on the sale of their foreclosures will give owner occupant buyers first preference during the early marketing period. This should result in making it easier for owner occupants to purchase without having to pay more than the original asking price. Owner occupants are better for pride of ownership and neighborhood stability.

Commentary and analysis provided by David Hess, Executive Vice President.

Search for homes in Sterling, VA and the entire DC Metro: www.averyhess.com

Sterling, VA Market Report 4/2/10

The following represents the real estate market in Sterling, Virginia:

• Homes for sale: 397 (up from 383 in January and 374 in December, but way under 500 one year ago)
• Homes sold: 55 (down from 71 last month and 121 in December)
• Median sold price: $295,833 (up 7% from one year ago)
• Average days on market: 31 ( down from 36 days last month and 91 one year ago)

Considering that we had three feet of snow, and lost at least 1/3 of the selling days in February, having 55 houses sold is not bad.

Almost every month the median sales price in Sterling has been going up. In fact, it’s now 7% higher than one year ago. Plus, the time it takes to sell a house in Sterling is down to 31 days, improving on last month’s 36 days and 91 days this time one year ago. Available inventory is now down 21% from a year ago, reducing the housing selection for potential buyers.

Investors and first-time buyers had previously been competing to buy the same houses on the market, which drove up house prices. Recent changes in policy by Fannie Mae and Freddie Mac on the sale of their foreclosures will give owner occupant buyers first preference during the early marketing period. This should result in making it easier for owner occupants to purchase without having to pay more than the original asking price.

Commentary and analysis provided by David Hess, Executive Vice President.

Search for homes in Sterling, VA and the entire DC Metro: www.averyhess.com