- 103 homes went under contract in Herndon. That is down (18.9%) from the same time period in 2019.
- 68.23% of homes that went to settlement in March sold in 10 days or fewer from when they hit the market.
- Median sold price is $549,500 (down 0.6% from the same time-period in 2019 when it was $553,000).
- 137 homes came on the market. That’s down 19.9% from March 2019.
- Homes that sold (closed) averaged 16 days on the market, 8 days faster than in March of 2019.
- There is currently a 1.07 month supply of homes (remember, in a balanced market – the demand from buyers equals the supply from sellers – there is a 5-6 months supply) in Herndon, and 91 homes for sale (townhouse, condo and single family).
OVERALL: Herndon remains in a seller’s market. Demand for homes is still strong amidst the COVID-19, and while homes going under contract are down 18.9% homes coming on the market are also down 19.9% so while we’ve seen supply and demand decrease when compared to March 2019 the Herndon housing market is still a seller’s market with very little inventory. Buyers still need homes and with the technology of virtual showings and an added COVID-19 addendum to protect buyers/sellers, our local market is adapting to protect buyers/sellers as they continue to purchase or sell homes in the coming months. According to NAR chief economist, Dr. Lawrence Yun, “the housing marking is on a solid foundation, unlike the housing market crash in 2008, because inventory is still low and builders haven’t been able to keep up with demand. To put this in perspective, prior to the 2008 housing market crash 2 million homes were being built per year as opposed to around 1 million homes built per year today so we aren’t seeing an oversupply of housing even with the softening of home sales in the coming months. We will probably see the housing market shift to a more balanced market where buyers aren’t forced to make a rushed decision.”
Yun also explains subprime lending has been curbed since the 2008 market crash so most homeowners have mortgages they can afford and if the shutdown duration is short (1-2 months) we will probably see a delayed spring housing market with peak sales in the fall around August/September. If the shutdown duration is long (4-6 months) home sales maybe flat or we’ll see a decreasing housing market. Real estate market shifts tend to take more time, unlike the sharp rise and fall of the stock market, so stay tuned for more information over the coming months.
Stay safe and healthy!