The housing market in the Chesapeake Bay & Rivers Association region, of which Gloucester and Mathews counties are a part, experienced a slowdown in activity at the beginning of the year, according to a recently released report by the realtors’ organization.
In the first quarter of 2026, closed sales activity was down or flat in most local markets. CBRAR is the local association for Gloucester, Mathews, Middlesex, the portion of King & Queen County known as the Buena Vista District and the portion of King William County known as West Point.
Overall, 227 homes were sold in that region in the first quarter, which is 27 fewer than a year ago (-11 percent). Middlesex (-19 percent) and King William (-18 percent) counties saw the largest percentage decline in sales across the region. On the other hand, King and Queen (+29 percent) and Middlesex (+28 percent) counties saw a rise in pending sales, which will likely lead to an increase in sales across those local markets over the next couple of months, the report stated.
Despite a slower pace in home sales, the median sales price in the region went up, suggesting an imbalance between supply and demand in the market. The first quarter median sales price climbed nearly $30,000 from a year ago to $379,925, a 9 percent gain. Most localities in the footprint had median price growth this quarter, led by Gloucester County (+26.7 percent) and Middlesex (+16.4 percent) counties. Mathews County (-17.1 percent) had the biggest decline in median price compared to a year ago, dropping from $383,200 in the first quarter of 2025 to $317,500 in this most recent report.
The inventory of active listings in the region expanded significantly in the first quarter of 2026. There were 417 active listings at the end of the quarter, an influx of 83 listings compared to last year (+25 percent). The months of supply in the first quarter was 4.2 months, which is up from 3.4 months a year ago, suggesting movement towards more balanced market conditions, the report summary stated. Furthermore, the median days on market went up to 38 days across the region (+19 percent).
Market conditions are pointing towards a busier spring market in 2026 than 2025, the report stated. “Listing growth has been consistently strong in the Chesapeake Bay & Rivers region over the past couple of years, and if this trend holds into 2026, buyers in the market will have more options to choose from, providing supply side relief,” the report said. “Recent volatility in mortgage rates poses a risk of dampening sales activity, but if rates continue to hover in the low 6 percent range, coupled with additional inventory, this could facilitate more home sales in the coming months.”