After several years of fierce competition and record-low inventory, the Hampton Roads housing market is finally showing signs of balance. This year has brought a wave of new listings, giving buyers more options than they’ve had in years, though sellers are still enjoying solid prices and steady demand. Here’s a look at where things stand today, based on the most recent data from REIN (Real Estate Information Network), NAR (National Association of Realtors), and KCM (Keeping Current Matters).
Local Market Update: What REIN Data Shows
According to REIN, Hampton Roads continues to post strong prices even as inventory expands.
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Record-High Prices: As of May 2025, the region reached a record-high median sales price of $368,000, surpassing the previous record set in June 2024.
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More Homes for Sale: Active listings rose to 5,276 homes in May, the highest number since mid-2020, and climbed even higher through summer. By August, active listings hit 5,709, up nearly 19% year over year.
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Healthy But Cooling Sales Pace: August saw 2,243 settled sales and 2,212 pending sales, slightly below last year’s pace but still indicative of a stable market.
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More Breathing Room: Months’ Supply of Inventory increased to 2.77 months — a sign that the ultra-competitive seller’s market of 2022–2023 is easing.
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Homes Taking Longer to Sell: The average days on market ticked up to 25 days, up from 22 the month prior.
Even with this moderation, prices continue to trend upward. In August, the median sales price reached $370,000, up 5.6% compared to August 2024. For perspective, in early 2025, the median was around $347,500 — showing steady appreciation even as inventory grows.
National Housing Context: What’s Happening Beyond Hampton Roads
The National Association of Realtors (NAR) reports that existing-home sales nationwide have remained relatively flat month-to-month, with only minor declines from July to August 2025. The South and Midwest — which include Hampton Roads — are still seeing modest gains in home sales compared to the Northeast and West, where affordability pressures are greater.
Nationally, affordability remains the biggest hurdle. Mortgage rates near multi-year highs have kept some buyers on the sidelines, but as more listings hit the market, buyers are gaining negotiating power. NAR’s latest reports also note that inventory growth and price stability are becoming key themes across the country echoing what we’re seeing locally in Hampton Roads.
KCM’s national outlook supports this as well, forecasting continued but slower appreciation through late 2025 and into 2026, as supply and demand gradually rebalance.
What This Means for Buyers and Sellers
For Buyers
If you’ve been waiting for the market to cool off, your time may have arrived.
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More listings mean less bidding-war pressure and more negotiating power.
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Homes that once sold in days are now taking weeks, creating opportunities for buyers who are patient and strategic.
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While mortgage rates are still elevated, sellers are increasingly open to concessions — including rate buydowns and closing-cost credits.
For Sellers
Sellers can still capitalize on strong pricing, but strategy is more important than ever.
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Overpricing can backfire quickly, with homes sitting longer and eventually requiring price reductions.
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Well-priced, well-staged, move-in-ready homes continue to draw strong offers.
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Marketing — including professional photos, video tours, and social media exposure — remains critical in standing out from growing competition.
What to Watch Going Forward
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Mortgage Rates: Even small rate drops could spark a fresh wave of buyers.
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Inventory Growth: If listings continue above 5,500–6,000, price growth may slow or level off.
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New Construction: Rising costs could limit builder activity, tightening future supply.
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Local Job Market: With military, shipbuilding, and healthcare as key sectors, employment trends will heavily influence housing demand.
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Affordability Index: Tracking how far incomes stretch against rising prices will be crucial in the year ahead.
Final Thoughts
Hampton Roads is moving toward a healthier balance between buyers and sellers. Prices remain strong, but the days of bidding wars on every listing are fading. Whether you’re planning to buy, sell, or invest, understanding this transition can help you make confident, well-timed decisions.
The bottom line?
The Hampton Roads market in 2025 is defined by opportunity. Buyers finally have room to negotiate, and sellers who adapt quickly to pricing and presentation trends will continue to thrive.
About the Author
Marie Brinkman is one of the top-producing real estate agents in Hampton Roads and an active real estate investor. With deep expertise in property valuation, renovation, and market strategy, she helps clients navigate every side of real estate, from buying their dream home to building long-term wealth.
