Northern Virginia Housing Market Shows Steady Growth in March 2025
Indicates Progress Toward a More Balanced Yet Competitive Market
FAIRFAX, Va., April 10, 2025 /PRNewswire/ -- The Northern Virginia housing market continued its upward trajectory in March 2025, with increases in home prices, total sales volume, and inventory levels. More buyers and sellers are engaging in the market, pointing to forward momentum across the region, reports the Northern Virginia Association of Realtors® (NVAR).
A total of 1,202 homes closed in March 2025, representing a slight 0.9% uptick from March 2024. The total sold dollar volume climbed significantly to $1.08 billion, a 10.5% year-over-year increase, driven in part by continued price appreciation.
The median sold price rose to $755,625, a 3.5% increase compared to last year, while the average sold price jumped 8.3% to $904,843. These gains reflect persistent buyer demand despite market fluctuations.
"The Northern Virginia region continues to demonstrate its resilience," said NVAR CEO Ryan McLaughlin. "Price growth is a clear indicator that our area remains a highly desirable place to live. Even with evolving market conditions, buyers are showing strong confidence in the long-term value of homeownership here."
Inventory levels also showed positive momentum. The number of active listings reached 1,980, an impressive 63.6% year-over-year increase. Meanwhile, the months of supply rose to 1.45, a 58.1% increase from March 2024 — marking a meaningful step toward a more balanced market.
"Our market is heading in the right direction," McLaughlin added. "The increase in inventory creates more opportunities for buyers to find the right home and for sellers to confidently enter the market, knowing there's greater demand for their property. While we're not at full equilibrium yet, this shift toward higher availability signals a more balanced housing environment. It gives buyers a broader range of options and helps alleviate some of the pressure on prices, creating a more sustainable and healthy market overall."
Homes spent a bit more time on the market compared to last year, with the average days on market rising to 18 days, a 12.5% increase. This may reflect buyers taking more time to consider options as inventory expands.
"While we've seen an increase in listings, it's clear that the region is still catching up to demand," said NVAR President Casey Menish, Pearson Smith Realty. "The good news is that more sellers are stepping forward, and buyers are beginning to have more choices, which helps create a healthier and more balanced marketplace."
An increase in listings is a typical occurrence in the spring housing market, with no significant data to indicate that it is being driven by changes in the federal workforce, despite recent reports to the contrary.
NVAR's 2025 Housing Forecast, produced in conjunction with the George Mason University Center for Regional Analysis, indicates that the regional growth is expected to continue. The Northern Virginia housing market will keep strengthening with moderate price increases and higher levels of market activity. Northern Virginia's outlook is similar to the national 2025 housing forecast that predicts the worst of the housing inventory shortage is ending, mortgage rates are stabilizing, and job additions are continuing.
BACKGROUND
The Northern Virginia Association of Realtors® reports on home sales activity for Fairfax and Arlington counties, the cities of Alexandria, Fairfax, and Falls Church and the towns of Vienna, Herndon, and Clifton. Below is March 2025 regional home sales compared to March 2024 for Northern Virginia, with data derived from Bright MLS as of April 9, 2025 (total sales and listings may not include garage/parking spaces):
- The number of closed sales in March 2025 was 1,202 units. This was just a 0.9% increase compared to March 2024.
- The volume sold in March 2025 was $1,075,963,284. This was a 10.5% increase compared to March 2024.
- The average sold price was $904,843 in March 2025. This was up 8.3% compared to March 2024.
- The number of new pending sales in March 2025 was 1,695 units. This was up 5.5% compared to March 2024.
- The number of active listings in March 2025 was 1,980 units. This number was up 63.6% compared to March 2024.
- The number of new listings in March 2025 was 1,890 units. This number was up 25.67% compared to March 2024.
Read more about the NVAR regional housing market at nvar.com/Marketstats.
NVAR Charts, Graphs, Social Media for March 2025 NVAR Housing Stats
March Housing Data: Click here.
Regional Jurisdiction Infographic: Click here.
NVAR Region Infographic: Click here.
NVAR 2023 Housing Economic Impact Report: Click here.
NVAR 2025 Housing Forecast Update Report: Click here.
These links are accessible from the Market Stats page here: Click here.
About NVAR
The Northern Virginia Association of Realtors® (NVAR) serves as the voice of real estate in the Greater Northern Virginia Region. NVAR is dedicated to enhancing Realtor® success by delivering exceptional value, driving innovation, and impacting the industry. Headquartered in Fairfax, Virginia, NVAR supports its 13,000 members with essential resources, including industry education, advocacy, networking, and professional development opportunities. The Association is committed to promoting ethical practices and excellence in real estate. It advocates on behalf of homebuyers, sellers, renters, and commercial tenants who are directly affected by local, state, and federal policy decisions impacting affordability, property rights, and quality of life. NVAR strives to elevate the standards of the real estate industry and to contribute to the overall growth and prosperity of the Washington DC Metropolitan Area and beyond. nvar.com.
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SOURCE Northern Virginia Association of Realtors® (NVAR)