(Virginia Beach, Virginia – November 2020) Real Estate Information Network Inc. (REIN), the Hampton Roads regional Multiple Listing Service, reports that residential active listings were down 39.58% year-over-year for October 2020, with just 4,887 homes on the market as compared to 8,089 last year. This marks the sixth consecutive month that active inventory has fallen more than 32% year-over-year.
In line with the low inventory, the region’s months’ supply of inventory also dipped significantly, currently at 1.81 months, down from 3.33 months last year, a decrease of 45.65% year-over-year. On an encouraging note, October saw 3,829 new listings added to the MLS system in October 2020, an 8.81% year-over-year increase in the number of new listings added last year at this same time.
Despite the decrease in inventory, October sales continued to increase. Residential pending sales rose 27.97% year-over-year, with 3,230 homes going under contract, up from 2,524 last year. Residential settled sales also increased by 19.86% from October 2020 vs. 2019, with 3,180 homes going to closing.
October 2020’s residential median sales price rose 12.92% year-over-year, the largest annual increase in over six years! Homes are selling quickly, and often for above list price due to multiple offers. October 2020’s median sales price was $271,000 compared to 2019’s $240,000.
“As the source of regional real estate information, the Multiple Listing Service (MLS) has the first glimpse into market trends and the irregular listing cycles observed in 2020,” stated Joan Griffey, REIN’s Executive Vice President. “Extremely low inventory has not slowed the unusually high number of sales, and the cycle is expected to continue through at least the end of the year, with some brokers and economists projecting it to last well into Spring.”