Now is the time to buy—interest rates are creeping up !
RICHMOND, Va., March 19, 2015—The Virginia Association of REALTORS® (VAR) released its February 2015 Home Sales Report today, affirming the steady month-to month and year-over-year increases in sales and in volume, despite the severe winter weather across the state.
The number of sales and the median sales price began to increase in February, kicking off the spring selling season.
• Sales increased relatively modestly, a little less than 3% from January to February and were 3.9% higher year-over-year.
• Median sales price increased 2.5% from January to February and 5.7% year-over-year.
• Total sales volume was approximately $1.8M—9.33% higher than February 2014.
• The average number of days on the market remained constant at 91 days and is 7% higher than February 2014.
“This is fantastic news. We were a bit concerned that the bad weather was going to be a setback, though we have been seeing more activity. Now I expect to see more for sale signs popping up – which means greater inventory,” said Deborah Baisden, president of the Virginia Association of REALTORS®. “This is the time to buy a home as mortgage interest rates are starting to creep up.”
Average 30-year mortgage interest rates rose in February to 3.71%, after five months of consistent decrease. Rising interest rates reflect general economic health. Rising mortgage interest rates may prompt potential buyers to purchase a home now, while they can still take advantage of historically low rates.
“Historically sales and prices increase quickly in March as the spring selling season sets in. Increases in interest rates may encourage some potential buyers to enter the market sooner—and the Virginia unemployment rate is consistently decreasing,” Baisden added.
The Virginia Home Sales Report is published by the Virginia Association of REALTORS®, with analysis provided by the Virginia Center for Housing Research at Virginia Tech. The February Home Sales Report, with charts and graphs, is available on our website.
The Virginia Association of REALTORS® (VAR) is the largest professional trade association in the state, representing approximately 30,000 REALTORS® engaged in the residential and commercial real estate business. VAR serves as an advocate for homeownership and homeowners and represents the interests of property owners in the Commonwealth of Virginia.
Note: The term REALTOR® is a registered collective membership mark that identifies a real estate professional who is a member of the National Association of REALTORS® and subscribes to its strict Code of Ethics.