July Highlights:

• PRICES HOLD UP / BUYER SHOWINGS NEAR LOW
  
  
• Northern Virginia Home Prices DOWN 2%
  Median prices in all sub-markets are within a few percentage points of all-time highs.
  
  
• Buyer Showings Tracking Near Lows in 2023
  Between the typical summer pivot and a rise in interest rates, Buyer Showings fall below January levels.
  
  
• Listings DOWN 11% from June to July
  This compares to typically DOWN 5% last 5 years.
  
  
• July Listings DOWN 38% vs. 5-year Average
  Number of homes sold Jan to July DOWN 27% (6,100 homes).
  
  
• "Discretionary Sellers" are Staying in Place
  
  
• Contract Ratio remains near 1.0 (seller advantage)
  
  
• Persistent Low Inventory at just 1 month
  
  
• Sellers See Fewer Offers, Less Escalation
  Average Sold Price-to-List Price falls 0.3% to 101.1% (Jun to Jul).
  
  
• Buyers: The Summer Pivot Continues
  As of the week ending August 6, there was a 12 pts spread between Listing and Showing movement. Seller listings are 24% below the 2023 highs seen in April, while buyer showings are down 36%. It's certainly still a seller's market, but buyers are able to navigate with less competition than earlier in the year.
  
  
• Fed RAISES to 5.25% in July (inflation dips below Fed)
  Fed raises rate 0.25 point, signals another increase later in 2023, and suggests holding rates at these levels for the next two years.
  
  
• Headline Inflation UP to 3.2%, UP 0.2% from Jun to Jul
  June to July is the first increase in inflation in 13 months. Inflation is way down from its June 2022 high of 9.1%, but don't expect that to relieve interest rates just yet. During the last six months, the average month-to-month increase is 0.3%. Annualized, this is 3.5 to 4% inflation, well above the Fed's 2% target they want to see sustained for several months before reducing rates.
  
  
• Mortgage Rates Hover at 7%
  Rising rates continue to cut buyer purchasing power, consequently sidelining even more buyers at a time of year when showings are seasonally down.