This article was written by WTOP’s news partner, InsideNoVa.com, and republished with permission. Sign up for InsideNoVa.com’s free email subscription today.

Home sales in Northern Virginia declined 32.1 percent in March, compared with the prior year, as higher interest rates continue to depress the region’s real estate market.

Sales were up 38.4% from February, which is typical, according to data from the Northern Virginia Association of Realtors.

“The growth from February is part of our seasonal cycle,” said NVAR board member Cassandra Welch of Long & Foster Real Estate. “Spring market is traditionally hot, and we are seeing lots of interest in buying homes. Sellers still have more leverage since buyers are challenged to find many options. The good news is that we see this changing.”

Homes stayed on the market for an average of 22 days, up 57.1% compared to March 2022, inventory grew from a year ago, up 59.9%. The average of 0.9 months worth of inventory is also the five-year average for the month of March.

Home prices remained stable. The median sold price for a home in the region in March 2023 was $665,000, up 2.3% from March 2022.

“With steep prices in Northern Virginia, higher mortgage rates have made it harder for home buyers, especially first-time home buyers, to afford a monthly payment,” said NVAR CEO Ryan McLaughlin. “While there is week to week fluctuations, we are optimistic that rates will continue to drop compared to last year, helping with affordability.”

The Northern Virginia Association of Realtors’ report includes home sales activity in Fairfax and Arlington counties, the cities of Alexandria, Fairfax and Falls Church and the towns of Vienna, Herndon and Clifton. Here are some more details for March, compared with March 2022:

• The number of closed sales in was 1,381 units. This was down 32.1% compared to March 2022 and up 38.4% compared to February. The number of closed sales was also down compared to (pre-pandemic) March 2019, when there were 1,586 closed sales.
• The median sold price for a home in March was $665,000. This was an increase compared to the (pre-pandemic) March 2019 median sold price of $537,900.
• The number of active listings in March was 1,417, up 14.7% from March 2022, when there were 1,235 listings. This number was down from March 2019 (pre-pandemic), when the number of active listings was 2,227.
• New pending sales in March were 1,600, down 30.4% compared to March 2022.