What Every Virginia Home Seller Should Know Before Listing in 2025

Selling your home is one of the biggest financial decisions you’ll ever make — and in today’s market, being informed makes all the difference. The real estate landscape is shifting across Virginia, with prices continuing to rise, inventory expanding, and buyer behavior evolving. Here’s what homeowners need to know before deciding to sell this year.

1. Home Values Are Still Rising (But at a Slower Pace)

According to the Virginia REALTORS® August 2025 Home Sales Report, the statewide median sold price was $430,000, up $15,000 (or 3.6%) from last year. While the pace of growth has cooled slightly compared to previous years, Virginia’s home values remain on an upward trajectory.

This means sellers are still in a strong equity position. Even though appreciation has moderated, consistent demand — especially in desirable regions like Northern Virginia, Greater Piedmont, and Lynchburg — continues to support solid pricing.

2. Market Activity Is Flat — But Demand Is Still There

Sales have stabilized statewide. In August 2025, 9,423 homes sold in Virginia, almost identical to last year (+0.2%).

While the market isn’t as fast-paced as it was during the pandemic boom, this steady activity signals a balanced environment — one that rewards realistic pricing and professional marketing.

Pending sales were up 3.4%, a sign buyers are still active even as they adjust to today’s interest rates.

3. Inventory Is Growing — Giving Buyers More Choices

One of the biggest shifts in 2025 is inventory. The report shows 24,606 active listings statewide, a 26.2% increase from a year ago (about 5,100 more homes for sale).

That’s good news for buyers who faced tight supply in recent years — but for sellers, it means competition is rising.

To stand out, sellers need to focus on presentation, pricing accuracy, and marketing exposure. Homes in top condition and priced strategically are still moving quickly, often within two to three weeks of listing.

4. Mortgage Rates Are Easing — Opening the Door for More Buyers

Mortgage rates have been declining for two months, with the average 30-year fixed rate at 6.26% as of September 18, 2025, according to Freddie Mac data included in the report

. As rates trend lower, mortgage applications are rising — a promising sign that more buyers may enter the market this fall and winter.

For sellers, this creates an opportunity to capitalize on renewed buyer demand before competition increases further.

5. The Market Is Normalizing — But Preparation Still Pays Off

With sales flat and inventory rising, we’re seeing a more balanced market — one where strategy and presentation matter again. Homes that show well and are priced realistically attract serious buyers. Sellers should plan to invest in minor updates, staging, and professional photography to maximize appeal.

The average sold-to-list price ratio in Virginia is 99.4%, slightly below the 100% mark seen in previous years — a sign that buyers have a bit more negotiating power.

6. What to Expect Moving Forward

The Virginia REALTORS® Research Team forecasts that if mortgage rates continue to decline, we could see a bump in home sales to close out 2025. However, because prices remain high and affordability is tight, growth will likely stay modest. More listings are expected to hit the market, but overall supply is still low relative to demand.

For homeowners considering selling, the key is to work with a Realtor who can read the local data and adapt to market conditions in real time. That’s how you position your property to sell faster and for the best possible price.

In Closing

Despite headlines about a “cooling” market, Virginia home values are holding strong — and buyers are still motivated. By understanding today’s trends and partnering with an experienced local Realtor, you can navigate this market strategically and maximize your return.

If you’re thinking about selling in the months ahead, now’s the time to get a clear picture of your home’s value and the current buyer demand in your area. Let’s talk about your options and create a plan that fits your timeline and goals.