DC Residential Market Overview
Every month the Greater Capital Area Association of Realtors (GCAAR) releases area home sales data. Let’s take a look at the Washington, DC housing market trends from July 2015.
The DC market continues to perform well, as we are seeing low inventory and record prices. There are fewer active listings than the same time last year, and with just 1.95 months of supply, it’s a very strong seller’s market. This means seller’s are getting what they are asking for, and they are getting it quickly, with half the homes selling in 11 days or less at 100% of list price.
If you’re a property geek like me, or just love data, check out the full report by RealEstate Business Intelligence, LLC (RBI).
What's happening with condos & coops?
There were 469 new listings in July 2015, compared to 441 new listings a year ago this time, which is a strong 6.3% increase. We saw a total of 664 total active listings, a decline of 0.7% compared to July 2014. The majority of the listings fell within the $200,000 - $699,999 price range, with condos & coops in the $400,000 - $999,999 range seeing the greatest increase in inventory year-over-year.
In July 2015, 385 homes went under contract, which was an increase of 12.9% compared to July 2014. Similar to what we saw with the month’s listings, the bulk of the contracts were placed on homes in the $200,000 - $699,999 range. However, the market is heating up for condos in the $600,000 - $899,999 range, going from 38 total contracts in July 2014 to 64 this year.
So what's this mean?
If all of this talk about a seller’s market makes you cringe, just remember, you’re not alone. However, home prices continue to rise year-after-year, so hesitating to buy now could cost you in the long-run. In addition, interest rates have been historically low for historically long, and the Fed has already indicated an increase is in sight. A good agent can map out a sound strategy as you enter the process, which will save you time, money and stress. Your agent should have the resources you will need to make your offer appealing, while also ensuring you don’t buy that dream home with the cracked foundation!
As you may have heard, it’s a strong seller’s market, and condo/coop sale prices continue to increase year-over-year. However, all good things must come to an end, but when exactly will that happen??? There are three things that contribute to how quickly your home sells: 1) Price; 2) Access; and 3) Marketing. As a homeowner, you determine the Price to list your home, as well as how Accessible it will be to prospective buyers. Your agent should handle the Marketing, and most importantly, negotiate a smooth transaction from start to finish. When considering a listing agent, be sure to work with one who understands these concepts and can assist you in making informed decisions throughout the process.