The December dollar volume of sales in the close-in Metro area was down 11.3%, year over year, but an improvement from November with -13.72%, and October with -22.8%. The average price, which also dropped into negative numbers this fall, is improving with the December average being only -4.2% lower from last year at this time. The fall real estate market deteriorated along with the stock market and is now getting better as the stock market and consumer confidence improve.
These numbers should continue to pick up as we move into spring, largely because we are looking at a shortage of inventory that will probably last for several months. With very little construction going on for that last six years, interest rates remaining low, and consumer confidence building, we can expect a very competitive marketplace in the “hottest areas”-NW Washington, close-in Bethesda/ Chevy Chase and Arlington- for properties that are priced correctly and show well.
*Statistics are taken from the Metropolitan Regional Information System. The area referenced includes Washington, D.C.; Montgomery County, Maryland; and Fairfax County, Arlington and Alexandria in Northern Virginia.
By Donna Evers