Mark Worrilow of Fathom Realty shed light on the absorption rate in the Northern Virginia Real Estate market and its pivotal role in navigating the dynamic Real Estate landscape of Northern Virginia and Stafford County. Worrilow, an expert in the field, delved into why absorption rate holds significant importance for prospective buyers and sellers.
“When people inquire about the state of the market, the terms ‘seller’s market’ or ‘buyer’s market’ often get tossed around without much quantification,” remarked Worrilow. “Absorption rate provides that quantification by comparing the number of homes sold to those actively listed on the market.”
Worrilow emphasized that in Stafford County, the absorption rate currently stands at approximately 1.5 months, indicating that the existing inventory would be depleted within a month and a half. Subject to seasonal fluctuations, this figure serves as a tangible measure of market activity, enabling individuals to gauge how swiftly homes are being bought and sold.
Highlighting the significance of this metric, Worrilow explained, “For instance, in February alone, there were 266 homes listed on the market, including those under contract and pending sale. This comprehensive approach to calculating absorption rate paints a clearer picture of market dynamics.”
Discussing the implications for both buyers and sellers, Worrilow stressed the need for proactive decision-making. “For sellers, understanding absorption rate underscores the potential speed at which their homes can sell, provided they are priced appropriately. Conversely, buyers are advised not to delay their decisions, as desirable properties may vanish quickly in a fast-paced market.”
In defining whether the market leans towards sellers or buyers, Worrilow outlined the benchmarks. “An absorption rate of one to three months signals a seller’s market, and we’re firmly entrenched in that territory. With our region’s strong demand and commuting advantages, this trend is likely to persist.”
Worrilow urged buyers to consult with their Real Estate agent for localized insights. “Real estate is inherently local, so understanding absorption rates specific to your neighborhood is crucial. Your agent can provide tailored guidance based on market nuances.”
A “dad” to a German Shepherd puppy, or as he calls it, “Shuppy,” and husband to a wonderful wife, Mark likes to read, cook, and use his smoker. He also loses golf balls and fishing lures.
Mark is a retired naval officer and 27+ year career REALTOR®. He is also an instructor for numerous continuing education and REALTOR® professional growth classes.
A Prince William/Stafford resident since 1991, he is well-versed in these areas and markets. A believer in giving back to those who serve our community, Mark has a program to support those buying or selling in Northern Virginia and has numerous agents who work for him who do the same. As a proud member of Rotary, he also extends these benefits to service organization members.