Supply and Demand through March 2010

This chart clearly demonstrates one of the core reasons for the extremely high buyer-buyer competition that exists in our local marketplace today. Since December of 2007, the gap between the number of houses available and the number of houses selling has been steadily narrowing. We are seeing fewer and fewer choices available per buyer and buyers need to be aggressive when they find a home that works for them.



When we study the sold price as compared to the list price, there is also a dramatic trend. Homes in Fairfax County are selling closer and closer to the list price, which goes hand-in-hand with what we would expect from the supply and demand graph. Also, this graph excludes the seller subsidies. So when the average sold price is 97% of the list price, it means the average is list price with a 3% seller subsidy. Some homes sell above the list price and some sell below the list price.