Available Inventory of Homes for Sale Lower Than Average

2008 Northern Virginia Absorption Rate Favorable at Year-End The number of Northern Virginia active listings decreased in December to a low of 7,688 for the year, resulting in a lower-than-average 5-month supply of housing for this region.

This represents a marked improvement from the more than 12-month supply that existed in January of 2008. As described in detail below, lower prices are luring buyers, resulting in a 48 percent increase in the number of sales in Greater Northern Virginia in December compared with sales in December of 2007. Inventories typically fall sharply in December from November due to seasonal adjustment.

The housing market is considered roughly in balance between supply and demand when the inventory is around six months. Inventory numbers capture most, but not all of the entire housing supply. Newly constructed housing and homes in the early stages of the foreclosure process aren't always included in Realtors®' multiple-listing services.