Virginia’s Housing Market Holds Strong, But Can Buyers Keep Up?

The Virginia housing market is showing resilience in 2024, with home sales slightly ahead of last year despite higher mortgage rates. In June alone, more than 10,000 homes were sold across the state. Although this was a drop compared to the previous month, overall sales for the first half of the year have managed to outpace 2023. Experts suggest that buyers are starting to adjust to the reality of higher interest rates, keeping the market active.

At the same time, home prices continue to rise, making affordability a growing concern. The median home price in Virginia reached $431,380 in June, a five percent increase from the same time last year. About two-thirds of the state’s cities and counties saw price growth, with some of the largest increases happening in Northern Virginia, the Richmond metro area, and the Southside region.

One positive development for buyers is the increasing number of homes on the market. Virginia’s housing inventory saw a nearly 25 percent jump compared to last year, giving buyers more choices. This increase in supply could help slow down price hikes in the coming months, though demand remains strong.

Looking ahead, the Virginia market remains competitive, but affordability challenges could slow down buyer activity. Higher prices and mortgage rates mean buyers will need to be more strategic, while sellers may have to adjust expectations as inventory grows. The market isn’t cooling off just yet, but it is evolving into a more balanced playing field.