by Jenny McClintock
July 21, 2022
The first half of 2022 has been one of the strongest Seller real estate markets in Reston on record. The total number of sales in all price ranges was 704, down nearly 10% from the same six month period one year ago in 2021. Had there been a greater supply of homes available for purchase, the total homes sold number would likely have been even higher. Still, the market is significantly stronger than it was a decade ago in 2012 when there were only 497 sales during this time period.
Sellers realized much needed price appreciation across the board in all Reston zip codes. Sales under $500K comprised 331 transactions whereas in 2021 they represented 417, a decrease of nearly 10% in this lower price bracket. The upper end of the home sale spectrum made up for this decrease, with the most significant gains appearing in the over $1m price range. This price bracket saw an increase in number of sales from 27 units in 2021 to nearly double at 52 units in 2022, a 93% jump and a 1700% increase in this bracket from ten years ago in 2012 where only 3 units sold above the $1M price point during the first half of the year.
Housing demand in 2022 continues to be driven by several notable demographic factors. As the largest segment of the US population, millennials continue to account for over half of new home purchase mortgage loan applications. Multi-generational households are still the trend in the Gen X demographic, and many baby boomers are choosing to age in place and purchase a second home.
The commitment by the Federal Reserve to address inflation has met with an increase in short term rates, and mortgage interest rates as a result. This has eased slightly the number of active buyers competing for properties as some buyers exited the market with the hope of a return to lower rates or a loss of buying power. Still, uncertainty in the stock markets and unrest abroad has led to many investing in real estate as a longer term safe haven.
The outlook for the Reston real estate market is extremely positive. Sellers are still in an excellent position to take advantage of low market inventory and continued high demand. Homes priced correctly for the market and in good show condition command top dollar. For those in the market to sell, consult with an experienced agent on how to navigate your home sale. For buyers, there are still many great opportunities in all price ranges. The number of homes available for sale on the market is expected to increase this year, mitigating frantic bidding wars and multiple offer situations which were prevalent in 2021.
Karen Briscoe, Lizzy Conroy, and Jenny McClintock with HBC Group at Keller Williams are active and experienced Realtors® in the Northern Virginia marketplace. Their team of agents represent sellers, buyers, investors, and builders in all price ranges and are available to assist with your real estate needs! www.HBCGroupKW.com, 703-734-0192. Homes@HBCGroupKW.com.