Per-square-foot sales prices dropped but some other data points moved higher as the Arlington real-estate market closed out the first half of 2025.

The average per-square-foot sales price for homes that went to closing countywide in June was $482, according to statistical data reported July 10 by Bright MLS, the Mid-Atlantic’s multiple-listing service.

That was down 5.3% from $509 a year before, and trailed the cumulative average of $507 recorded for the first six months of the year.

For the month, Arlington placed fourth highest in the metro area behind the District of Columbia, Falls Church and Alexandria. In a typical month, Arlington vies with DC for the top spot.

Across Northern Virginia, Arlington was the only major locality to post a year-over-year decline in per-square-foot prices. In other jurisdictions:

  • The average per-square-foot sales price in Falls Church was $509, up 16.7% from $436. For the first six months of the year, the average was $519, up 10.2% from the same period a year before
  • In Alexandria, the average price of $493 was up 2.1% from $482. For the first half of the year, the average was $488, up 1%
  • In Fairfax County, the average price of $369 was unchanged. For the first half of the year, the average was $375, up 1.9%
  • In Loudoun County, the average price of $295 was up 0.3% from $294. For the first half of the year, the average was $300, up 1.7%
  • In Prince William County, the average price of $255 was up 2% from $235. For the first half of the year, the average was $257, up 2.8%

Across the Mid-Atlantic as a whole, June’s average per-square-foot sales price of $263 was up 3.5% from $254, and the year-to-date average of $257 was up 3.2%

Comparison of per-square-foot costs is a way to factor out monthly market swings in places like Arlington, where a change in the mix of single-family housing vs. attached units such as condominiums can produce swings in the average sales prices of properties.

While the per-square-foot cost was down, there were some ongoing signs of strength as the Arlington market continues to absorb economic impacts of higher interest rates and Trump-era uncertainties.

A total of 244 properties sold during the month, up 17.9% from a year before, and the average sales price of single-family homes rose 4.1% to $1,542,569.

Average sales prices of townhouses, rowhouses and condominiums all posted declines, however, pushing the overall average sales price down 1.7% to $942,846.

The bump up in sales helped push Arlington’s market volume in June to just over $232 million. That’s an increase of almost 18% from a year before. The number of pending sales headed toward closing also was in positive territory during the month.

The mixture of positive and negative data in Arlington is being replicated across the region, said Lisa Sturtevant, chief economist for Bright MLS.

“The 2025 housing market is shaping up to be relatively slow, with transactions on pace to match the level last year,” she said. “Even though there is more inventory, high mortgage rates and high home prices are holding buyers back.”

In Arlington, inventory was up nearly 45% from a year before, aiding prospective purchasers. Arlington’s figure is slightly higher than the overall inventory bump for the entire metro area.

“Buyers are starting to have more negotiating power in the market, which is impacting price momentum,” Sturtevant said.

Across Bright MLS’s Washington coverage region, the median sales price of all homes that sold for the month was $650,000. Though up 1.6% year-over-year, it was the slowest rate of growth in two years.

The highest appreciation rates came in two of the most outlying parts of the region — Loudoun County in Virginia and Frederick County in Maryland.

Many Va. Realtors expect prices to drop in coming months: More than four in 10 Virginia Realtors participating in a recent survey see home prices falling in coming months.

The monthly “flash survey” of members of the trade organization recorded 41% believing that sales prices will be lower in three months’ time. That’s up from 32% a month before.

A total of 25% expect prices to rise, down from 31% in the previous survey. There was no change in the 30% that believed the market would largely be unchanged.

The survey was conducted online the week of June 26 to July 2. It received 855 responses, including 647 Realtors who had participated in at least one transaction in the preceding month.

The increasing percentage of respondents expecting price declines likely represents a mix of economic concerns, affordability issues and the general cyclical nature of the market.