June 2023 Monthly Housing Market Trends Report for Arlington, VA, Washington DC and Montgomery County. This is our monthly update and insights based on year over year numbers on these three markets. What do the numbers mean to you? How can they be translated to your current needs when buying or selling?
Area Housing Market Strong Heading into Summer
Low inventory continues to suppress sales
In June, overall sales in the Washington, D.C. region were 18.5% lower than a year ago. However, the year-to-year gap in sales activity is narrowing and sales would be stronger if there was more inventory available.
The number of active listings has declined for three consecutive months. With just 5,954 listings on the market at the end of June, inventory is down 20.3% from a year ago and is more than 50% lower than 2019 levels. There is just 1.35 months of supply regionwide, making it a very competitive market for buyers.
There does not appear to be any relief for buyers in the form of fresh listings. New listing activity in June is off by nearly 40% compared to a year ago, hitting record low levels. Homeowners are still “locked in” to super low mortgage rates, giving them little incentive to list their home for sale.
Buyers in the market need to act quickly. The median days on market was 7, reflecting a market that is moving as quickly as it was during the height of the pandemic market.