Decreases in local residential real estate inventories

Local real estate inventory hit an all-time high in January 2022 (Photo by Michael Tuszynski of Pexels)

HAMPTON ROADS – Real estate inventory in the Greater Hampton Roads area plummeted in January 2022.

In a report released by the Real Estate Information Network, Inc. (REIN), it lists that January saw a record month of inventory supply (MSI) across the region. In December, REIN hit a record low of 0.88, but fell back the following month to 0.79.

REIN notes that this low rate means real estate is being bought up faster than houses are being put up for sale on the market.

“Buyers have struggled for the past two years,” said Liz Moore, chair of the board of REIN, of Liz Moore & Associates, which has a location in Williamsburg. “When there are five bids on a new listing, only one buyer wins their bid. That leaves four disappointed and still looking.

In the report, it says the median price at which residential properties sold in January 2022 was $291,000; down from $290,000 in December and nearly 10% above the year-over-year price of $264,950.

Moore attributes this to historically low interest rates and a lack of supply motivating buyers to pay above the asking price or enter bidding wars for sought-after properties.

“Over the past year, sellers have benefited from peak prices, which have been enhanced by multiple offers in many cases,” she said.

The market also saw fewer active listings in January compared to a year earlier. In January 2021, the local real estate market had 3,664 active listings compared to 2,536 active listings in January 2022. In addition, new construction sales fell from 309 in December 2021 to 269 in January, and pending sales increased slightly down year on year.

For more information on this and other real estate data around Hampton Roads, please visit REIN’s website.

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