As 2019 draws to a close, we analyze the state of the DMV housing market and it’s a mixed bag — some good news for Buyers, some good news for Sellers. Low inventory and rising prices are projected for the 2020 market.
Good news for Buyers: Affordability is up. Interest rates are at historic lows and, for a 30-year fixed rate mortgage, are nearly .75% lower than they were a year ago. That’s about $150/month in savings at the median DMV home price — or $54K less in payments over the life of the loan.
Good news for Sellers: Inventory is down and prices are up. The number of new listings are down 3% versus 2018 — meaning there are more eyes on fewer properties. More Buyers combined with lower inventory fueled a 4.5% median price increase over the last 12 months. Expect price appreciation to slow in 2020 to a still respectable 2.6% regionally.
Here are some take-aways on the state of the DMV Housing Market:
- Home prices are up 4.5% year-over-year — The region’s median sales price is now $465,600. That breaks down to a median price for condos at $324,000, townhomes at $450,000 and single-family detached home prices at $561,883.
- Housing inventory is down — New active listings are down 3% from last year. That means there are fewer new listings on the market and the average days on the market for properties has also decreased to 13.
- 2020 home prices are expected to rise 2.6% — Price appreciation in the D.C. region is forecasted to be 2.6% in 2020. Of course that will differ greatly by neighborhood — but 10 years into a housing expansion, that is considerable.
- Interest rates are nearly .75% lower than last year — 30-year fixed rate mortgages now average 3.65% for well-qualified borrowers. That’s down from 4.4% a year ago. Forecasts indicate that rates will rise to 3.88% by the end of 2020.
Real estate markets are hyper localized. If you want to know what the market looks like in your neighborhood, reach out and consult a Realtor. Or learn more ways to get an edge on our Home Buyer Tips Blog.
To say I’m excited about this would be a bit of understatement, to say I’ve dreamed of this my whole life would be a bit of an overstatement, to say…
Thanks to Eric for sending above from the Mall. Friends of the White Whale Society is brought to you by the team behind Hawks*** around Town. You can email your…
photo by Matt Berman Ed. Note: If this is you, please email [email protected] so I can put you in touch with OP. “Dear PoPville, Section 228 at Elton John, I…
If you have any animal/pet photos you’d like to share please send an email to princeofpetworth(at)gmail(dot)com with ‘Animal Fix’ in the title and say the name of your pet and…