Great Falls/McLean, VA Market Report – 10/30/2009

The data below reflects the market conditions in Great Falls and McLean, Virginia:

The Great Falls market continues to show impressive results over the same time period in 2008.  With inventory down 5%, average days on market down 30%, and homes sold up by an impressive 81.8%, the buyers are definitely out and about in Great Falls.  The only disappointing number was that the average sales price was down 3.9%, but given the small number of transactions in the Great Falls market, we would expect to see fluctuations in average price, and it is not a substantial one.  The other robust numbers show a recovering market, although the small sample size can also explain an 81% increase in sales.  Overall, very good news for the market.

McLean is also showing great numbers against the same time last year.  Inventory is down almost 10%, but sales are up 97%.  It did take longer to sell homes, by 18%, and prices fell 4% over last year.  These numbers are still strong, with the inventory and sales levels showing recovery in the McLean market.  Lower priced homes are also selling well, which has brought the average price down a bit.

With the new tax credit that Congress is considering, which will expand the tax credit to move-up buyers who have lived in their homes for at least 5 years, as well as new homebuyers, I foresee a great market in both communities through the Spring.  If you are thinking of moving up, and this act passes, be sure to get your home on the market as soon as possible, as you will need to be under contract on your next home by April 30, 2010.  This will most definitely help our recovery along through the Spring market.

Market data and commentary provided by Tom Conner, Managing Broker, Avery-Hess, Realtors.

Search for homes in Great Falls, McLean and all of the DC Metro: www.averyhess.com

Sterling, VA Market Report – 10/29/09

A popular residential area for Washington, DC commuters, Sterling is located in the northeastern section of Loudoun County, one of the fastest growing counties in the nation. Nearby public parks include Sterling’s Algonkian Regional Park and Claude Moore Park. In addition, there are several historic battlefields within a one hour drive in all directions. Dulles Town Center and the Leesburg Corner Premium Outlets provide lots of retail and restaurant choices.

The totals below show the current market conditions in Sterling, Virginia:

• Homes for sale: 443
• Closed sales: 132
• Average dales price: $304,717
• Average day on market: 49

Prices are nearly unchanged since last month. Plus, total inventory has declined 7.5% since last month while days on market increased by 10. However compared to one year ago, all of the statistical indicators are better giving further evidence to a stabilized market. The average sales price is down 10% from a year ago, making buying a more affordable reality. FHA loan rates are now 5.25% as quoted By Choice Mortgage, a Wells Fargo Affiliate.

Market data and commentary provided by David Hess, Executive Vice President and Managing Broker, and Neal Greene, Realtor®

Search for homes in Sterling, and all of the DC Metro: www.averyhess.com

Tax Credit for Homebuyers Close to an Extension

It’s all over the Real Estate world this morning. Lawmakers are close to extending the Tax Credit for first time home buyers, it could be a done deal as soon as today (although, this is Washington, so that means it could take a bit longer…).

According to an article on Bloomberg, the tax credit would also include step-up buyers who have lived in their homes for at least 5 years. This addition is a huge boon to buyers and sellers alike as it has the potential to double the demand for homes as step-up buyers filter back into the Real Estate arena. This new proposal does have some differences from the previous iteration, and some of the key points outlined in the bill are as follows:

1. Tax Credit would be capped at 10% of the home’s sale price with a maximum limit of $7,290.
2. This credit is available to both first time buyers (individuals who have not owned a principal residence for 3 years or longer) and step up buyers who have lived in their principal residence for at least 5 years.
3. This extension would be offered to purchasers who are under contract by April 30, 2010
4. This credit is only available on homes costing $800,000 or less – currently there is no cap on price (and common sense dictates that if you are purchasing a home above this price range you probably do not need financial assistance from the government to do so).
5. Income eligibility for first-time buyers will remain the same: $75,000 for individuals and $150,000 for couples
6. Income eligibility for Step-Up buyers are proposed at: $125,000 for individuals and $250,000 for couples

Stay tuned for more, and search for homes: www.averyhess.com

Arlington County, VA Market Report – 10/27/09

We try to remain cautiously optimistic, particularly when reading that Federal Reserve Chairman Ben Bernanke stated that the deep recession is “very likely over at this point.” Although, Bernanke further said, “It’s still going to feel like a very weak economy for some time.” Arlington has shown signs of a recovering market through the first three quarters ofthis year. The following represents market activity for September:

• Active listings: 907
• Closed sales: 221
• Pending sales: 265
• Average sales price: $478,911
• New listings: 351
• Average DOM: 62

The number of units sold for the month was up 15% over 2008. However, the average sales price was down 6.5%. This would indicate sales were happening in the lower priced homes where first-time buyers are taking advantage of incentives and low interest rates. Another distinct factor is the decrease in the days on market (DOM). Down from 85 days in September 2008 to 62 days this year, it reflects lower inventory and an increase in the buyer pool causing increased interest. Consequently, when houses are in good condition and priced right, the buyers will come. If you’re thinking of selling, now is the perfect time.

Market data and commentary by Charlie Carroll, Managing Broker at Avery-Hess, Realtors.

Search for homes in Arlington County, and the rest of the DC Metro: www.averyhess.com

Reston/Herndon, VA Market Report – 10/26/09

The below statistics for Reston and Herndon are pretty amazing.  We are seeing the active listings plummet yet again over the same time last year, but very impressive gains in average sales prices in both communities.

In Reston, the most notable standout is the 27.3% increase in the average sales price.  I attribute this increase primarily to more expensive homes finally beginning to sell in Reston that were not selling at the same time last year.  Sales are pretty consistent, but the average days on market (DOM) is drastically down, primarily due to the decreased inventory that is on the market.

In Herndon, we see a 17% increase in average sales price and a 59.8% decrease in days on market.  The interesting thing about Herndon is that the number of homes sold actually decreased from last year by 28.8%.  This is mostly due to the decreased inventory on the market more than anything else.

All indications appear that we are heading to a return of a healthy local housing market.  The clock is ticking for people to take advantage of the $8,000 federal tax credit for first time homebuyers, and it certainly is also a great time to put a home on the market with the low inventory and the pent up demand.

Market data and commentary  provided by Tom Conner, Managing Broker, Avery-Hess, Realtors.

Search for homes in Reston, Herndon, and all of the DC Metro: www.averyhess.com

Olney/Brookeville, MD Market Report – 10/23/09

The following represents the market conditions in Olney and Brookeville, Maryland:

• New listings: 109
• Homes sold: 30
• Average sales price: $468,187
• Average days on market: 54

Once considered to be out of the way, the Montgomery County suburbs have extended their reach out to Brookeville and Olney over the years. As a result, you’ll often find that the older the home, the bigger the lot. However, recently builders have been building new homes on one acre plus lots in the area. Olney is a popular area to live because of its proximity to the employment areas of Columbia, Silver Spring, Gaithersburg and Washington, DC.

The Brookeville and Olney areas have an extremely wide range of prices based on house and lot size. There are starter condos up to large sprawling “Gentleman Farms” and horse farms.

Olney Theater on Route 108 has some terrific shows in a large modern building. It’s not only popular with residents in Olney, but the theater also has fans from a far range of the surrounding area.

Market data and  commentary provided by David Hess, Executive Vice President and Managing Broker.

Search for homes in Olney and Brookeville, and all of the DC Metro: www.averyhess.com