March Data Shows Mixed Signals for NRV

March brought a slight wave of activity in the New River Valley housing market, with signs that both buyers and sellers are testing the waters again. According to the latest figures, existing-home sales across the U.S. rose 4.2% from February—outpacing predictions. Here in our region, the numbers paint a more nuanced picture.

Residential new listings saw a healthy bump, up nearly 10% compared to last March, while pending sales climbed 8.4%. That tells me more folks are at least getting serious about moving. Still, closed sales actually dipped about 8% year over year. So, while people are shopping, not everyone is pulling the trigger yet.

Prices continue to inch upward. The median sales price for residential homes ticked up to $280,000, a 1.4% increase from last year. Homes are also taking a bit longer to sell, with average days on market rising to 58. That’s an 18% jump—buyers may be more selective, or maybe sellers are overpricing things slightly. Either way, properties aren’t flying off the shelf like they were a year ago.

Land properties showed a different rhythm. Pending sales shot up nearly 18%, but closed sales dropped sharply by 23%. Interestingly, land listings are selling faster when they do sell—the average days on market dropped almost in half. That’s a pretty big shift, and I think it shows that well-priced lots are still attractive to the right buyer.

Inventory tells a lot about mood, and right now it’s mostly steady. Residential inventory dipped just 0.2%, and land inventory fell 4%. We’ve still got a 3-month supply of homes, which isn’t a lot. Builders and sellers should take note: there's room here to meet demand.

The affordability index, which basically tells us how reachable homes are for the average buyer, slipped slightly for both residential and land markets. Mortgage rates hanging around 6.5% aren’t helping, but they’re not stopping buyers entirely either.

To wrap it up, I’d say March gave us a cautious green light. There's interest and activity, but still some hesitation. Prices are stable, homes are sitting a bit longer, and affordability is inching downward. If you're planning to buy or sell this spring, now’s the time to sharpen your numbers and get strategic. Things could warm up fast if momentum continues.