GDoN Revisited by Hipchickindc – 4606 4th Street, NW

Hipchickindc is a licensed real estate broker. She is the founder of 10 Square Team and is affiliated with Keller Williams Capital Properties. 10 Square Team is a advertiser. 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: 4606 4th St NW
Legal Subdivision: Petworth
Advertised Subdivision per Listing: Petworth
Original List Price: $445,000.
List Price at Contract: $445,000.
List Date: 07/23/2012
Days on Market: 6
Settled Sales Price: $455,000.
Seller Subsidy: $0.
List to Net Sales Price Ratio: 102.25%
Settlement Date: 08/27/2012
Bank Owned?: No Short Sale? No
Type Of Financing: FHA
Original GDoN post is: here.
The listing can be seen: here . The pics can be seen by clicking on the camera icon after opening the link .

The recent sales history of this property gives a sense of the fluctuations in the Petworth market in the recent past. In 2005, the tax records show a transfer of the property at $325,000., followed by a transfer in 2006 for $470,000. Work was apparently started but not finished, and the property was sold by the bank in 2008 for $220,000.

I was surprised to see that since the beginning of 2012, there were 23 sales of houses in Petworth that settled under $250,000. Apparently, there are still deals out there, although it’s worth noting that most, if not all, were cash sales. (In fact, the lowest Petworth house sale so far this year was for $142,500., for a property that looks like it conveyed with tenants).

Although Petworth is a relatively defined neighborhood, pricing is still very much block-to-block, and largely affected by proximity to Metro. The highest net sale of a house in Petworth so far this year was at $647,500. Median price for the neighborhood for so far this year is $350,000., with a median number of days on market at less than three weeks.

There are currently forty houses actively listed for sale in Petworth, ranging in price from $255,000. to $965,000.

The listing agent for 4606 4th St NW was Maria Lopes with Long and Foster Real Estate, Inc. The buyer was represented by Ed Carp of Continental Properties, Ltd.

18 Comment

  • “The highest net sale of a house in Petworth so far this year was at $647,500.” And now there’s one listed for $965,000? I like the optimism!

    • bfinpetworth

      Yeah, that 965k house is a serious outlier. Seems to me that the neighborhood is topped out right now at the 650 level, and that is for a really exceptional property (the house that sold for 647 is on NH Ave. corner lot that looked like a really lovely renovation and larger than most).

      The sweet spot for nicely renovated homes in the neighborhood right now seems to be in the 600 – 620 range if the property isn’t too far north – the line seems to be in the vicinity of Grant Circle/Upshur although some properties north of that line have sold for about 620 – 630.

  • I’ve noticed that the price for a fully renovated house in Petworth is going higher and higher – the ceiling used to be closer to $550K and now is approaching $650K. Unrenovated houses still seem to be a relative bargain though, and I’m not sure they have increased in value since the housing market crashed. When I bought my house in 2005 it seemed like even houses that were shells sold for over $300K. Now there seems to be a huge gap in price between unrenovated and renovated houses.

    • Interesting… I wonder if it’s because borrowed money is cheap (low interest rates) but a lot of people are low on cash, especially compared to 2005 when the stock market was doing much better?

    • jim_ed

      When we bought in North Petworth in June, we tried to pull comps but found that the pricing was all over the map, and didn’t give us much help.

      The really nice renovation on our block listed at 515k and sold in under 30 days, whereas ours was <350k for a house renovated ~5-6 years ago with lower to middle finishes, and the house 2 doors down from us thats completely unreonvated but lived in by several families has been under contract for months at ~225k. So there's 3 different price points all on the same block for the same style rowhouse.

      That being said, in our neighborhood, unrenovated but livable houses right now seem to be in the 300-350k range, and there's quite a few of them for sale.

  • We live in Parkview, just three blocks south of the Petworth metro station and we looked at comps all around us and pretty much every renovated house is priced $599-$675k. Shells are around $300k and there are definitely some flip jobs under way. We bought a year and half ago, new renovation for $544K (our house was actually featured on GDoN!). Its amazing how quickly this area and petworth are moving housing inventory. Im not sure we could afford our house now if it was on the market. Hard to say if this is a bubble of just a combination of low interest rates, low inventory and this is one of the few remaining in town neighborhoods close to metro that could be deemed “affordable” …we moved here after getting priced out of columbia heights. But I am very optimistic!

  • There’s plenty of deals still out there and coming on the market every day… Petworth houses will have some of the steepest increases in value over the coming years because they have been overlooked for a long time, and there’s plenty of space for business growth versus places like Dupont Circle and Georgetown where there’s not a lot of space for new construction and renovation.

    I hope retail follows the growth, I’m looking forward to a business “renissance era” of growth on Georgia Ave.

  • Refinancing Petworth houses is difficult because of the variety of houses and pricing. I think the line that someone spoke of is now Buchanan/Crittenden – before the D streets, which have what is currently low income housing.

    It seems this low income housing will be the next to go, or is that optimistic (for non low income people, of course)? When space for new condos runs out developers may renovate those buildings (which appear to be privately managed). Though the survival of the market/liquor/laundromat on New Hampshire Ave might be a better marker of change.

    • I just completed a refinance on my house on Buchanan, just off Georgia. I agree that the pricing is all over, and the result nearly sank my refi. The first appraisal came in $75K LOWER than last year. I had to bring in a second appraiser to get the number I needed for refi, and yet even then it was a few thousand below the appraisal last year.

      I’ve done a lot of work to improve it and it’s very nice, but my place isn’t a “full reno.”

    • When friends have asked me how far north they should buy, I have suggested Crittenden as a border if money were not an issue. I didn’t know that low-income housing started on the D streets….I just noticed, by walking my dog, that there is a decline in the housing stock there, and the vibe changes. I also check the crime reports every week and notice that it tends to increase at the D streets going north.

  • Almost half of a million dollar for this kind of property? Seriously?

    • Are you new to DC? Half a mil to live in a transitioning neighborhood with metro access and improving commercial corridor is actually about right, it not a down right good deal.

      • I’m not new. I was just comparing two different houses around the same price, one in west coast and this one in DC. Half million for this “not good looking” house and easy on the eyes property commonly found in west coast. And to another Anon, yes San Francisco is expensive and perhaps even more, but the houses are prettier.

        • Keep in mind that many people in DC make six figures or something close to it if not far more. Imagine you have a couple in which both make about $80,000/year. Buying a $500,000 property when you make $160,000/year isn’t that enormous of a deal.

    • You must be new not only to DC but to urban areas. Don’t look up real estate in San Francisco or you’ll have a stroke.

  • As someone that lives on one of the D streets near Georgia, I would like to push that line further North to the F & G streets. The D’s are changing for the better, too.

    • Live at Farragut and 7th, and definitely think the line is moving. House tw doors down is getting flipped, and right across the street going south as well. Not to mention two houses on 7th pl in the past year. The nearest house being flipped has already had people looking at it, even though it is still in progress. Here is hoping it goes quickly.

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