Zillow: DC Area Home Values Projected to Dip Slightly in 2015

by Tianna Mañón

Zillow: DC Area Home Values Projected to Dip Slightly in 2015: Figure 1
The Zillow Home Value Index charted in the DC statistical area over time.

A Zillow report released this week found that there’s been very little change in the DC area housing market since last May. Year over year, Zillow’s home value index — a measurement drawn from the company’s Zestimates — has increased just 0.4 percent. The area rental index, also based on Zestimate-type technology, has increased 2 percent.

Zillow projects that the DC area’s housing market may dip about 0.6 percent in the next year.

The small changes to the region’s market suggest that the regional housing market is finally leveling off since the financial crisis of 2008 and the recovery years that followed.

Zillow uses an estimate for the current market value of a home and then takes the median of the estimates in a given geographic area to calculate its Home Value Index. The company uses the DC metropolitan statistical area to define the boundaries of its data. This May, the DC area home value index sat at $359,700, about half a percent more than it was last year. But in DC proper, the median for May was much higher, at $510,500.

Zillow: DC Area Home Values Projected to Dip Slightly in 2015: Figure 2
Rents in the DC statistical area have been steadily climbing.

Rents in the DC area have grown by 2.1 percent since last May and currently sit at $2,107, according to the company. In DC proper, according to data provided to UrbanTurf, rents were much higher, at a median of $2,649.

Zillow found that rent growth is outpacing home values, which can promote home buying, realtors and lenders recently told UrbanTurf. Region-wide, Zillow noted, home values are still 16 percent less than the DC area’s housing-bubble peak in March 2006.

See other articles related to: zillow, home values

This article originally published at https://dc.urbanturf.com/articles/blog/zillow_dc_area_home_values_projected_to_dip_slightly_in_2015/10034


  1. HstRez said at 4:08 pm on Thursday June 25, 2015:
    Is it just me or is Zillow a complete crock? This report flies in the face of just about every other report I have read on the topic for the past 6 months. Also, just a bit of anecdotal evidence that Zillow is completely full of shit - their Rent Zestimate for my rental property is 20% lower than what I actually rent it for. And their home value Zestimate seems to be about 20% - 30% lower than comps.
  1. HouseguyDC said at 4:46 pm on Thursday June 25, 2015:
    Yes. Zestimates are usually awful. The simple reason is that an algorithm can't accurately value your home because it can't go inside and see you have a renovated kitchen vs the neighbor's sold home that didn't. And anything on a "regional" level is generally useless information because that can include everything the bay to the mountains and Baltimore to Richmond. Real estate is all local. If you have a home in Georgetown the DOM for Upper Marlboro shouldn't concern you.

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!

Northern Virginia

Profiles of 14 neighborhoods across Northern Virginia

Looking to Give People A Reason to Stay Past 6pm
Happily Straddling the Line Between City and Suburb
Columbia Pike
Arlington’s Neglected Stepchild is Getting a Makeover
Crystal City
Turning Lemons into Lemonade
Lyon Village
Developing An Air of Exclusivity?
Hitting Its Growth Spurt
An Urban Village Hitting Its Stride
Del Ray
Virginia’s Small Town Near the Big City
Eisenhower Avenue
The Vibrancy Might Take a Few Years
The Quiet Neighborhood By the Beltway
Old Town
Mayberry By The Potomac
132 Commerical-Free Acres
Downtown Falls Church
Staying the Same in the Midst of Change
Tysons Corner
Radical Change Could Be On The Way

See more Northern Virginia »


Profiles of 14 neighborhoods in suburban Maryland

Small-Town Living in the State Capital
Bedroom Community Gets Buzzing Cache
Cabin John
In With The New While Maintaining the Old
Chevy Chase
Affluence, Green Lawns and Pricey Homes
Downtown Silver Spring
Experiencing a Resurgence After a Bumpy History
A Suburb on Steroids
Rockville Town Square
Despite the Dynamism, Still Somewhat Generic
Takoma Park
More Than a Little Bit Quirky
A Foodie Magnet on the Verge of Change
Capitol Heights
Kudzu, Front Porches and Crime
Glass Half Full or Half Empty?
Mount Rainier
Artists, Affordable Homes and A Silo Full of Corn
National Harbor
A Development Rises Next to the Potomac
Riverdale Park
A Town Looking For Its Identity

See more Maryland »

Northwest DC

30+ neighborhood profiles for the city's biggest quadrant

16th Street Heights
DC's Sleeper Neighborhood
Where (Almost) Everyone Knows Your Name
AU Park
One of DC’s Last Frontiers Before the Suburbs
DC’s Northern Neighborhood on the Cusp
DC’s 535 House Neighborhood
Cathedral Heights
Do You Know Where That Is?
Chevy Chase DC
Not to Be Confused With the Other Chevy Chase
Cleveland Park
Coming Back After A Rough Year
Columbia Heights
DC’s Most Diverse Neighborhood, But For How Long?
An Island of Serenity East of the Park
Dupont Circle
The Best of DC (For a Price)
Foggy Bottom & West End
Where the Institutional Meets the International
Forest Hills
Ambassadors and Adventurous Architecture
Foxhall Village
350 Homes Just West of Georgetown
Friendship Heights
A Shopping Mecca With a Few Places to Live
History, Hoyas and H&M
Glover Park
One of DC’s Preppier and More Family-Friendly Neighborhoods
A Posh View From Embassy Row
LeDroit Park
A Quiet Enclave in the Middle of the City
Logan Circle
Trendy Now, But Not By Accident
Mount Pleasant
Sought-After Homes Surround Main Street in Transition
Mount Vernon Triangle
From Seedy to Sought-After
The Long, Skinny Neighborhood at the City’s Northwest Edge
Park View
It’s Not Petworth
Penn Quarter/Chinatown
DC’s Go-Go-Go Neighborhood
Getting a Vibrancy of Its Own
The Duke’s Former Stomping Ground
Shepherd Park
DC’s Garden of Diversity
Spring Valley
A Suburb With a DC Zip Code
Not To Be Confused With Takoma Park
Not Quite Like Its Neighbors
U Street Corridor
The Difference a Decade Makes
Woodley Park
Deceptively Residential
Adams Morgan
No Longer DC’s Hippest Neighborhood, But Still Loved by Residents

See more Northwest DC »

Southwest DC

The little quadrant that could

Southwest Waterfront
A Neighborhood Where A Change Is Gonna Come

See more Southwest DC »

Northeast DC

Profiles of 10 neighborhoods in NE

New Development Could Shake Up Pastoral Peace
A Little Bit of Country Just Inside the District’s Borders
Not to Be Confused With Bloomingdale
Fort Totten
Five Years Could Make a Big Difference
H Street
A Place To Party, and To Settle Down
The Northeast Neighborhood That Few Know About
Michigan Park
A Newsletter-On-Your-Doorstep Community
Evolving from a Brand to a Neighborhood
Ripe for Investment Right About Now
The Difference 5 Years Makes
Big Houses, A Dusty Commercial Strip and Potential

See more Northeast DC »

Southeast DC

6 neighborhoods from Capitol Hill to East of the River

Capitol Riverfront
Still Growing
Hill East
Capitol Hill’s Lesser Known Neighbor
Congress Heights
Gradually Rising
Notable for Its Neighborliness
Historic Anacostia
Future Promise Breeds Cautious Optimism
Eastern Market
A More European Way of Living

See more Southeast DC »