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Is The Starter Home The Star Of A Slow Housing Market?

  • July 29th 2025

by UrbanTurf Staff

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"Starter homes" may be the bright spot in a slow seasonal housing market. 

A new report from Redfin finds that sales of this tier of home rose nearly 4% in June, the largest increase in nearly two years. For the report, starter homes are defined as properties on the market in the 5%-35% price tier. 

"Starter homes" have long represented a segment of the housing market accessible to first-time buyers, giving them an entry point into homeownership which can later be leveraged into more comfortable digs. In the DC area, Redfin defines "starter" as homes with a median price of $387,000, which currently can buy you a one-bedroom condo in Logan Circle or a three-bedroom home in Hyattsville. 

“They’re typically smaller and more modest, but starter homes remain within reach for some buyers who have been priced out of higher tiers," Redfin Senior Economist Sheharyar Bokhari said. "First-time buyers are especially apt to go for starter homes, as they don’t have equity from a previous home sale to help with their payments."

See other articles related to: starter homes

This article originally published at https://dc.urbanturf.com/articles/blog/is_the_starter_home_the_star_of_the_market/23732.

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