Housing Inventory in DC Area Hits Lowest Level in Almost a Decade

The DC area’s declining inventory.
The DC area finished 2012 with the lowest level of for-sale housing inventory in almost a decade, and the lowest number of new listings on record.
RealEstate Business Intelligence (RBI) reported this morning that there were 6,466 active listings in the region at the end of last year, a drop of over 4,200 listings from the end of 2011. As for new listings, 2,465 came on the market in December, the lowest number for any month with data dating back to 1997.
In general, a drop in inventory usually results in prices heading northward, but at least in the short term, RBI hypothesizes that is not what is happening:
Unseasonable declines in sales and median price from November could be an early sign of weakening demand. While intuitively low supply would put upward pressure on prices, it could be that many buyers are deciding to delay their home purchase until more options become available on the market, which is loosening the pressure on pricing as evidenced by the $11,000 drop in the median sale price from November.

Courtesy of RealEstate Business Intelligence
Still, there is evidence that the drop in inventory over the last 12 months has driven prices upward. In DC proper, the median sales price has risen almost 10 percent (from $414,000 to $455,000), and across the Metro area, prices rose 10.5 percent. During that period, active inventory fell by over 40 percent.
The area that RBI analyzes includes DC, Montgomery County, Prince George’s County, Alexandria City, Arlington County, Fairfax County, Fairfax City, and Falls Church City.
See other articles related to: realestate business intelligence, housing inventory, dclofts, dc housing inventory, dc home prices, dc home and condo prices
This article originally published at http://dc.urbanturf.com/articles/blog/housing_inventory_in_dc_area_hits_lowest_level_in_almost_a_decade/6501
Most Popular... This Week • Last 30 Days • Ever

An analysis by UrbanTurf found that there were 15 neighborhoods in DC where the media... read »

The project is the first Rosslyn high-rise that will include affordable units.... read »

Data shows that DC is 40% of the way to reaching the 36,000-by-2025 goal — but stil... read »

Another 7-Eleven site redevelopment is (back) in the works — this time in downtown... read »

Tysons Corner also comes in tenth nationwide in number of apartments built since 2016... read »
- DC Has Its Most Million-Dollar Neighborhoods on Record
- Arlington County Approves 740-Apartment Ames Center Site Redevelopment
- 14,400 Units: DC is Nearly Halfway to Meeting 2025 Housing Production Goals
- Same Team, Different Development: 450 Units Proposed for Downtown Bethesda Site
- 2,562 New Units: Tysons Tops DC Suburbs in Apartments Built
DC Real Estate Guides
Short guides to navigating the DC-area real estate market
We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Visit guides.urbanturf.com or start browsing below!
First-Timer Primers
Intro guides for first-time home buyers
Unique Spaces
Awesome and unusual real estate from across the DC Metro
5 Comments