Author: Louise Lamy, Associate Broker

We’re seeing a notable shift in the housing market: existing-home sales across the US dipped to a 14-month low in Mid-Q3, dropping below 4 million—a 2% decline month-over-month, with a 3.98 million annualized pace. For buyers, this means more listings to choose from, as nationwide supply has grown to 4.9 months. The average 30-year fixed mortgage hovered near 7%, yet the median home price set a Mid-Q3 record at $429,100, driven by strong activity in higher price ranges.

What does this mean for those considering their next move? Rising wages and steady job gains are still supporting demand, but a larger pool of homes is giving buyers—especially first-timers—more room to negotiate. In fact, first-time buyers made up 30% of purchases in Mid-Q3, with cash deals at 27%, and homes typically spent 31 days on the market.

After 25 years of guiding clients through every market cycle, I know firsthand how these trends can shape your strategy—whether you’re buying your first home, upsizing, or planning your next chapter. Clear communication and a grounded approach remain essential to making the most of today’s opportunities.

As someone who’s helped hundreds of clients navigate the Northern Virginia market over the past 25 years, I’m always interested in how shifts in inventory open new doors for buyers. Mid-Q3 brought some encouraging changes: 1,300 closed sales and $1.2 billion in dollar volume show that activity remains strong, even as buyers found more options. The median sold price held steady at $765,000, with homes averaging 26 days on the market—a sign that well-matched properties are still moving at a reliable pace.

One trend I’m watching: active listings rose to 2,900 units, with condos and attached homes leading the way. For anyone weighing their next move—whether you’re looking for your first place, planning to downsize, or considering a luxury property—these choices matter. Detached homes are less prevalent right now, but the variety among condos, townhomes, and other attached styles means more flexibility for buyers in every stage of life.

The market is still active and hasn’t yet reached a fully balanced point, but ongoing local efforts to broaden housing options are making an impact. If you’re considering a change, know that there are more possibilities than ever to find a home that fits your evolving needs.

After 25 years helping clients buy and sell across Northern Virginia, I’m seeing two distinct real estate stories unfold this year. For sellers, the market remains favorable—especially if your home is turnkey and priced right. Updated properties in McLean, Great Falls, Oakton, and Vienna are still drawing multiple offers, while homes that need work or are priced too ambitiously tend to linger. Low inventory continues to support strong activity for move-in-ready homes, but buyers have become far more selective, especially about finishes and condition.

In Tysons, the condo market is shifting as inventory expands beyond just ultra-luxury towers. Buyers are taking a close look at well-priced mid-tier and established buildings—a notable change from the previous focus on premium options. On the commercial side, there’s a sharper divide: while data center demand underpins our region’s economic strength, older office buildings, particularly in Tysons, are under pressure to reposition.

Looking ahead, most mortgage-rate forecasts suggest we’ll stay in the low-to-mid 6% range through year-end. Meanwhile, a new luxury project is targeting late-2028 for delivery. As always, my goal is to navigate these changes with practical advice and clear-eyed strategies—whether you’re a first-timer, moving up, downsizing, or seeking that perfect luxury fit.

We're seeing affordability challenges reach new heights—by late Q3, the typical U.S. buyer’s monthly payment climbed to $2,600, the highest in 14 months. While mortgage rates ticked up, median sale prices stayed steady, rising about 2% year-over-year to nearly $399,000. That’s put extra pressure on buyers, and as a result, pending sales have remained flat month-over-month and are down from last year. Mortgage purchase applications have dipped slightly, and new listings also dropped a bit around the holidays, though they’re still a bit higher than this time in 2025.

What really stands out in this shifting market is how much pricing strategy matters. About 21% of active listings saw a price cut. I’ve seen firsthand that sharper, realistic pricing draws attention—while overpricing can make even great homes linger. Inventory is slowly improving too, with active supply up about 2% year-over-year to 1.5 million homes, and supply inching toward four months, though we’re not quite at a balanced market yet.

After 25 years in real estate, I know navigating these changes takes clear communication and a practical approach. Whether you’re a first-time buyer, moving up, or planning your next chapter, making smart decisions in this market comes down to understanding the numbers and staying nimble.

With over 25 years in real estate, I’ve seen interest rate cycles come and go—but the current outlook for U.S. rates in 2027 has many in our community wondering what’s next for housing and homeownership. Persistent inflation and steady long-term Treasury yields are making it less likely we’ll see a quick drop to lower interest rates. The Federal Reserve is walking a tightrope, weighing inflation risks against a cooling economy. As a result, higher long-term yields could keep borrowing costs up for everyone—from first-time buyers to those looking to move or downsize, and even for commercial real estate projects. In times like these, I always advise my clients to look at the bigger picture and stay focused on long-term goals, not just short-term rate swings. With interest-rate uncertainty and fiscal pressures shaping the financial landscape, a balanced and informed approach has never been more important. As someone who believes deeply in homeownership as a path to building wealth, I’m here to offer grounded guidance every step of the way.

We’re seeing a noticeable shift in the housing market this Mid-Q3: price per square foot has dipped in 36 out of the 50 largest US metro areas, reflecting a broader cooling trend across the country. Nationally, there’s been about a 2% year-over-year decline in price per square foot—marking the tenth consecutive month of this softer pricing environment. Sellers are responding by adjusting their asking prices more aggressively, hoping to bridge the gap with today’s buyers as the market loses some momentum. High mortgage rates are making affordability tougher, especially in those pandemic-boom neighborhoods, and it’s prompting sellers to get more realistic. Inventory is also sitting above pre-pandemic levels, giving buyers more options and shifting some leverage their way. Having guided clients through countless market cycles, I know that adapting to evolving conditions—whether you’re moving up, downsizing, or buying for the first time—is key. My goal is always to ensure you have the clearest picture possible, so your next move builds toward your long-term financial well-being.