Washington DC Prices Up Over 9% In November

[Russell Brazil]

Following a couple of months of slowing activity, the real estate market experienced a mini-boom in November. Here is a closer look at what’s happening throughout the region:

Summary: The entire region has enjoyed increased volume and prices since last year. In fact, despite more inventory than last November, the days on market has actually shortened as well. The fear of an impending interest rate increase has likely spurred many buyers to act. It will be interesting to see if experts are correct in predicting an increase in the Fed’s rates this Wednesday following the FOMC meeting. That would mark the first increase since 2006, indicating the Fed’s confidence in the economy. Although the Fed rate doesn’t directly impact mortgage rates, most believe we will see a gradual increase into the 4.5-5% range over the next year.

Highlights

1) The entire region has seen an increase in sales since this time last year, with Baltimore and DC showing double-digit gains. Month-over-month sales has decreased in all areas with the expected seasonal slowdown.

2) Prices have increased throughout the region year-over-year with DC showing particularly large gains.

3) The entire region has seen days on market shorten year-over-year.

4) There are significantly more homes for sale in all areas as compared to this time last year.

November 2015 statistics

MD suburbs of DC

- Volume = Total Sales are down 7.4% Month-over-Month (MoM) and up 16.8% Year-over-Year (YoY)

- Price = Median price is up 3% and average is up 3.9% YoY

- Time = Median days on market is 27 days (vs 29 days in November 2014)

- New Listings = New listings are up 8.6% YoY

Washington, DC

- Volume = Total Sales are flat MoM and up 26.5% YoY

- Price = Median price is up 9.1% and average price is up 9.8% YoY

- Time = Median days on market is 13 days (vs 15 days in November 2014)

- New Listings = New listings are up 4.5% YoY

NoVA

- Volume = Total Sales are down 18.7% MoM and up 5% YoY

- Price = Median price is up 1.7% and average price is up 1.8% YoY

- Time = Median days on market is 37 days (vs 40 days in November 2014)

- New Listings = New listings are up 7.4% YoY

Baltimore Metro

- Volume = Total Sales are down 22% MoM and up 10.8% YoY

- Price = Median price is flat but average price is up 0.7% YoY

- Time = Median days on market is 48 days (vs 54 days in November 2014)

- New Listings = New listings are up 8.8% YoY

Always remember the Mark Twain quote..."There are lies, damn lies, ....and then there are statistics." The ability to properly interpret the data is almost as important as the data itself.

Edit: Sorry I should have posted in the Washington DC category.