Active August For DC Housing Market

• September 12, 2011

by Mark Wellborn

In August, pending home sales in the DC area reached their highest level in four years, according to data released today by RealEstate Business Intelligence (RBI). Specifically, 4,169 contracts were signed in the region last month, a drop-off from July, but a 20 percent increase over August 2010.

The report released this morning also stated that the median home sales price for the area fell to $356,000 in August from $370,000 in July, a month-over-month drop that is in line with the seasonality of the market. A more notable statistic that caught our eye was that the median sales price for August 2011 was virtually the same as August 2010 ($355,000). MRIS analyst Jonathan Miller, who authored the report, noted that the median sales numbers (which are for closed home sales, so lag about three months) for last August were probably a little inflated because of the effect of the federal homebuyer credit, so while prices have not shot up, the price comparison is a little misleading.

The blue line represents median sales price trajectory. Courtesy of MRIS.

“I think what intrigues me most about this report is that even though August was marred by the debt ceiling situation, the S&P downgrade, an earthquake, and widespread flooding, these distractions did not keep area buyers and sellers from performing to seasonal expectations,” Miller told UrbanTurf. “However, there is still so much unknown with REOs and the state of things in Washington that what will happen to the market in the future is unclear.”

The area that MRIS analyzes includes DC, Montgomery County, Prince George’s County, Alexandria City, Arlington County, Fairfax County, Fairfax City, and Falls Church City.

This article originally published at http://dc.urbanturf.com/articles/blog/active_august_for_dc_housing_market/4127