GDoN Revisited by Hipchickindc


In real life, hipchickindc is licensed as a real estate broker in the District of Columbia and Virginia, and as a real estate salesperson in Maryland. Unless specifically noted, neither she nor the company that she is affiliated with represented any of the parties or were directly involved in the transaction reported below. Unless otherwise noted, the source of information is Metropolitan Regional Information Systems (MRIS), which is the local multiple listing system. Information is deemed reliable but not guaranteed.

Featured Property: 1112 Monroe St NW

Original List Price: $574,900.

List Price at Contract: $574,900.

List Date: 6/25/2009

Days on Market: 6

Settled Sales Price: $574,900.

Settlement Date: 07/27/2009

Seller Subsidy: $0.

Bank Owned?: No.

Type Of Financing: Conventional loan with 20% down payment

Listing History: See below for listing history information

Original GDoN Post is: Here

Recent Listing is: Here. To see more pics, click here for the virtual tour.

Since 2006, people have been asking me how they will know when the real estate market in DC has hit bottom. The only good answer to that question is that you’ll know once we start coming up on the other side. In other words, you will have missed it. There have started to be some consistently positive numbers reported about housing in general lately, and I’m seeing good things personally in my business and that of my colleagues. I recently had a listing go under contract in one day (on Fourth of July weekend no less). Continues after the jump.

Why am I being all cheery and positive on the DC real estate market all of a sudden? Because I’ve been waiting for this “Good Deal or Not-Revisited” (GDoN-R). Sure, we’ve seen plenty of multiple offers on low-priced foreclosures that have gotten bid up over asking. Typically, however, in this price point we’ve been seeing some kind of negotiation, if not in price, then in a big chunk of closing costs paid for by the Seller. Here we have, for the first GDoN-R in maybe the history of GDoN-R, a house priced over $500,000. that went under contract fast and for full list price. Granted, the house was priced to move for the condition and location, and GDoN commenters on the original post seemed to think it was a good deal.

The property only recently changed hands back in September of 2007 for a sales price of $450,000. (from a list price of $550,000.) with a Seller subsidy of $13,500. It was described in that listing as “Strictly ‘AS IS’, Needs Some Work”. Unfortunately, that owner lost the property to foreclosure. It was listed as a Freddie Mac foreclosure in March 2009 for $248,900. and was under contract two days later. The Purchaser in April paid $278,900. in cash for the property. It was blue when they bought it. They painted it yellow and fancied it up some.

For those who share my optimism about the DC real estate market, I’d like to throw out there that my company is currently looking to hire licensed sales managers for new construction projects, as well as sales assistants.

17 Comment

  • This is good news. Very good news.

  • Does anyone know of a more comprehensive index of the local housing market than the types of case studies presented here? Something like the Case-Shiller index, but DC only (not “DC metro area”)?

  • This is encouraging, I agree, but this seems to be a pretty unique situation. How many “fancied it up some” properties are on the market for under $300k in 20010, likewise how many are selling for around $600k and how often? I think you had one the other week that was $595k, not sure if that was in 20010 and if I recalled it had higher-end finishes.

    It seems like shells are very few, needs a lot of work are in the $250k-350k, needs no work to live in but could be better $400k-$500k, recently renovated-no work required $575k-800k (all ranges depending on size, quality, & location)

    Hipchicka – what is the market rent for a nice rowhouse in 20010? Thanks.

  • Dirty, I rent in the area, and as a *very* rough rule of thumb it seems that rowhouses go for around $1000/month per bedroom. Of course there are lots of variables: whether it’s renovated (although I don’t think things like granite and stainless matter as much to renters as they do to buyers so the price difference isn’t as big), # of baths, location, backyard, etc. A really nice 3br close to the Metro can go for over $3000; east of Sherman rents are quite a bit lower. This house has a basement unit which I’d guess would go for around $1000 by itself, and for the main house it would probably depend on the size of the BRs: could be $3000 if they’re all spacious, more like $2500 if it’s actually 2br+ den. So I think the buyer got a good deal since their mortgage payment + taxes is probably lower than $3500.

  • gentrification.

  • The basement for this place was recently on Craigslist. They are trying to rent it for $1,300/month. That seems to be going rate for basements in this area. Although $1000/month for one bedroom in a group house seems a bit high, but then again I don’t have experience with that sector of rentals.

  • Prices need to fall a lot more in DC. $575k for a rowhouse is way too expensive for almost everyone. Somebody made $300,000 on this place in 4 months. That’s insanity.

  • Sir Marglar – you can get a less expensive house, it just won’t be in good condition or it will be east of this one. You also assume that the seller made no improvements, which is presumably incorrect. The seller also had to pay commissions and transfer taxes… probably nowhere near $300k

  • Um, yeah? Almost everyone doesn’t get to buy a recently renovated DC rowhouse. I’m blow away by these “houses should be cheap” comments. Real estate is an auction, prices are set by the highest bidders. Prices don’t fall when the goods are in demand, as houses near metro and development are, and have been throughout this housing slump. You want a cheap house, go somewhere fewer people are interested in living…Just like Dirty said, you can easily find a DC rowhouse for under 350k, even under 300k. But it’s not near metro/development, or it needs a lot of work. Price, location, condition: PICK TWO.

  • $1300 for a basment? Yowza. I certainly wouldn’t pay that, but to each their own I guess.

  • Prices need to fall a lot more in DC. $575k for a rowhouse is way too expensive for almost everyone.

    You can always buy in Laurel.

    Having just experienced the joy that is the one-hour thirty-minute drive from Capitol Hill to Rockville (at @3pm on a weekday) I wish you the best. In the meantime, I’ll take the mortgage deduction and pay til it hurts. I’m betting prices aren’t going anywhere but up, because that traffic’s not going away anytime soon.

  • Anon, Metropolitan Regional Information Systems (MRIS) compiles data monthly, quarterly, and yearly, but it is not public. Here is the June ’09 numbers for just DC: Note that the number of transactions is up more than 11% from the same time last year, as is overall dollar volume of sales.

    For analysis, I recommend looking to Stephen Fuller and his peeps at GMU. They will always include “Greater Washington Area” however. Here is their site:

  • MRIS apparently won’t even let me post the report links.

  • And I should clarify that the total dollar volume was up 4.49% (only the number of transactions were up 11.27%).

  • Can you really rent a basement without a separate front entrance for $1300? That sounds crazy to me. I wouldn’t call a basement with no separate front entrance (and stairs from the main level) a basement apartment, I’d call it a room for rent, and I certainly wouldn’t pay anywhere near $1300 to rent a room.

  • certainly wouldn’t pay anywhere near $1300 to rent a room.

    Eppur si muove…

  • “I’m betting prices aren’t going anywhere but up…”

    Yes, and so sayeth Alan Greenspan once upon a time too….

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