RICHMOND — Virginia’s housing market saw a slight uptick in activity at the beginning of the year according to the January 2025 Virginia Home Sales Report released by Virginia REALTORS.
Virginia REALTORS is the largest trade association in Virginia, representing 35,000 realtors engaged in the residential and commercial real estate business.
There were 5,758 home sales across the commonwealth in January, 104 more sales than a year ago, inching up by 1.8%, according to the report.
About half of all counties and cities in Virginia had more sales in January than they had a year ago, the trade association added. Areas that saw increased sales include the Greater Piedmont region, the Northern Virginia suburbs, the Charlottesville area, and parts of Richmond.
There were 9,431 new listings that came onto the market in Virginia at the start of 2025, the association said, an increase of nearly 13% over the same time last year — 1,065 additional listings.
In total, at the end of January, there were 16,990 active listings on the market across Virginia, 3,088 more listings than last year, representing a significant 22.2% jump in inventory levels, it added.
“The rise in available inventory is certainly one of the bright spots in Virginia’s housing market” says Virginia REALTORS 2025 President Lorraine Arora. “However, we are still experiencing issues with inventory shortages. For context, January’s month-end statewide inventory was 35% smaller compared to five years ago.”
While inventory conditions are improving, strong pent-up demand in many local markets is causing upward pressure on prices, the association said. Virginia’s statewide median sales price was $399,000 in January, up more than $27,000 since the same time last year, a 7.3% increase. Compared to January 2024, 69% of local markets in Virginia had a higher median sales price.
Regarding what’s likely ahead for 2025, Virginia REALTORS Deputy Chief Economist Sejal Naik says, “Mortgage rates are expected to go down this year, but their path is projected to be bumpy due to uncertainty around the impact of new policies on consumer sentiment and overall prices in the economy. Sales activity is likely to closely follow these interest rate movements.”
The Virginia Home Sales Report is published by Virginia REALTORS. Click here to view the full January 2025 Virginia Home Sales Report.
