The Winchester, VA real estate market saw a dip in real estate sales in the month of August 2015, but that is the same pattern the market followed in 2014. The 2013 market showed a similar pattern but with a smaller drop in sales. Is it time to panic? Probably not, but it’s always time to pay attention.
Global markets affect the real estate market in the U.S. The U.S. stock market meltdown the last week of August will certainly have an impact on the macro market throughout the United States. With that said, all real estate markets are local. Even in the local market, sales can be neighborhood by neighborhood and street by street. Global financial changes can affect most markets, but some markets are more insulated than others. The Washington, DC market is a perfect example. Even during the height of the recession, the DC market suffered very little.
The 2014 summer real estate market had a 35% drop when comparing June to August. The 2015 June/August market was down 35%, but the June/August 2013 market was only down 7%. The biggest contributor to the decline in 2014, which has carried through 2015, is the high inventory on the local market.
A healthy Winchester, VA real estate market is approximately 550 available homes. The 2014 market shot up into the upper 700s, and the current market is at 731. With that many options, a buyer often has extra time to look at homes before making a decision. The sense of urgency present in the summer of 2013, is not as pressing today.
A view of the third quarter may be a better predictor of the overall market health. Summers seem to be more of a roller-coaster than other periods throughout the year. September sales may help to level things out for a better view of the overall real estate market in
Winchester / Frederick County.