The Northern Virginia real estate market appears to be heading for historically high prices. Home prices have experienced a big run up from the bottoming of the market nearly ten years ago.  While it is not entirely evident in the year-over-year data on home prices, the price per square foot makes it clear that a seeming dip has more to do with the size of homes selling than with the sale price in relation to value.

Plus, the development of the Amazon corporate offices and emergent news about the Federal Reserve lowering the interest rate continues to add fuel to the fire. The data from Zillow, Trulia, the National Association of Realtors, and other sources for the area suggests the market is stable. However, research on Amazon HQ2 shows how that influx of people and money makes our area a prime seller’s market. The expected action by the Fed in late July is icing on the Internet juggernaut cake – with better mortgage rates soon available to buyers, convincing more people it’s time to look for a new home.

The median prices of homes in Linton Hall did drop slightly since last year, 2.9% – but don’t be fooled by that decline. The average price per square foot of sold homes paints a clearer picture: that figure dropped much less, only 0.31% year-over-year. In other words, the market is stable.  Also notable is that many listings are selling for close to list price. What’s more, a noticeable amount of properties on the market before being scooped up by transitioning families or newcomers to the area.

The Virginia Chamber Foundation studied the new Northern Virginia Amazon headquarters and found it would be a boon for the region. An average of 27,928 jobs will be supported by the project yearly from 2019 to 2030. The hub will generate $6.4 billion. Many people are most excited about the way that this economic injection by a huge company will spark growth of smaller businesses that meet the needs of Amazon employees. When the complete effect of Amazon HQ2 is calculated, the amount is $14.2 billion, per the research. By 2030, Virginia will garner an additional $1.83 billion in tax revenue, primarily via sales and individual income taxes, per the report.

The national picture is especially newsworthy and exciting. The Federal Reserve is expected to cut interest rates at least once by the end of this year. A drop in the interest rate means better mortgage rates for buyers. More buyers enter the market. When the ratio of buyers to sellers is higher, Sellers have the upper hand in negotiations.

Have you been considering moving up in NOVA? Now is the time to move, especially since the slight dip in median home price will keep some sellers from taking action. Knowing the market is stable at present but only growing hotter with Amazon HQ2 and the expected Federal Reserve rate cut, you can jump into the game just as sellers are getting an incredible upper hand.

Speak Your Mind

lintonhallrealtors 5 out of 5 based on 1 ratings.