May 2017 Loudoun County Market Trends Report: Inventory Low Heading into Summer Months; Home Price Growth Continues
The following analysis of the Loudoun County, Virginia housing market has been prepared by George Mason University’s Center for Regional Analysis. It was prepared for the Dulles Area Association of REALTORS® by analyzing MRIS multiple listing data from MarketStats by ShowingTime.
• For the 23rd straight month, active inventory continues to decline. At the end of May, inventory was 19.8 percent lower than the same point last year. This left 1,431 homes for sale at the end of the month, with 2.6 months of supply headed into June.
• Reversing a recent trend, new listing activity in May increased 6.5 percent versus last year. Loudoun County added 1,099 new homes to the market at a time when it is typical to see continued decline after the spring peak. This may indicate potentially loosening inventory in the coming months, but inventory is still not keeping up with demand as evidenced by the continual downward trend of total active listings.
• Loudoun County’s median sales price continues to increase, rising 5.6 percent in May on an annualized basis to $475,000 – the second highest figure in the past decade.
• Demand growth has stalled as closed sales are up only 0.6 percent over May 2016 at 695 sales. Contract activity is continuing to trend downward as new pending sales decreased 1.5 percent from last year.
• Loudoun County homes continue to sell significantly faster than last year, with half of the May sales being listed for 8 days or less, down from May 2016’s total of 11.
• Loudoun County home sellers received on average 99.1 percent of original list price in May.
• Detached homes are seeing a surge in both contract and listing activity. New pending sales and new listings for detached homes are up 8.2 and 19 percent respectively from May 2016.
• Townhomes see lower sales growth – down 11 percent from May 2016.