The February real estate market continued the trend of increasing prices paired with varying demand across the local footprint. The regional median price soared nearly 6% in February of 2025, coming in at $460,000 compared to $435,000 last year. While prices remained high in February, total sold dollar volume decreased by about 3%, going from approximately $157 million last February to just over $152 million this year. That decrease was fueled by a nearly 9% reduction in units sold across the region, with 305 homes transacted in February of 2025 compared to 335 last year.
Most jurisdictions also saw a decrease in units sold except for Orange and Stafford counties and the City of Fredericksburg. Every jurisdiction in the FAAR footprint experienced an increase in year-over-year median price with Orange County leading the pack at nearly 25%. Median price in Orange County jumped from $358,725 in February of last year to $447,000 this year.
Days on market, the time it takes from when a listing enters the market until it receives a ratified contract and is removed from active status on the multiple listing service jumped over 20%, going from 36 days last February to 44 days this year. Even with that overall jump in average days on market, nearly a third of homes sold in 10 days or less.
There was good news for those watching inventory levels as active listings jumped nearly 21% going from 661 homes on the market at the end of February 2024 to 795 at the end of this February. New listing data was disappointing with a more than 12% reduction in the number of homes coming on the market and a 10% decrease in new pending sales.
“In February, the housing market was abuzz with uncertainty following significant announcements and changes affecting the federal workforce,” comments FAAR Board Member Tamar Myers-Moffatt. “With folks heading back to the office and remote work winding down, everyone’s wondering about how this will shake up real estate. Many of my clients thinking about selling are holding off because housing options are still pretty limited. In addition, my clients are speculating about how the new administration will impact interest rates. I have also noticed an increase with days on market suggesting buyers are becoming more discerning with their homes of choice and the purchase terms they are willing to accept. This could mean a change in the market dynamics as both buyers and sellers have to navigate a complex economic and political backdrop.”
