While there may be a lot of uncertainty about the upcoming changes in Washington DC, there is one thing that seems to be trending in a positive direction: a strong and robust real estate market.
Despite the holiday season typically being a slower time of year for real estate, we had a strong finish to 2016 in the DC area. In November contract activity was up by 8.3% from the previous year. The average number of days on the market for homes receiving contracts was 68 days in November 2016, down from 71 days in November of 2016. Contract activity was also up in December. Overall contract activity increased by about 4% in 2016 compared to 2015.
All signs are pointing to a healthy real estate market in 2017. Interest rates spiked in November, but are still historically low and this is prompting many buyers who have been on the fence to go ahead and buy. This year we’ll see more millennials than ever before entering the real estate market and this is a trend that is expected to increase over the next several years.
We’ll also continue to see more new real estate development in the DC area, especially of mixed-use urban and “surban” style communities where residents can enjoy a walkable lifestyle. Development is also growing in new home communities farther away from the city in places like Loudoun County.
Overall 2017 looks like its going to be a great year. If you’ve been thinking about buying or selling, now is the time. Feel free to contact me any time with questions about the market or to get the ball rolling.