The real estate market in the metro DC area is generally strong, and the inventory of homes on the market in the metro DC area is near historically low levels. That means there are plenty of buyers who are frustrated by their lack of choices. But that doesn’t mean that supply is tight everywhere in every price range.
Among the indicators we track to judge how the market is doing is the “absorption rate,” simply the percentage of homes on the market that are going under contract every month – those that are being “absorbed.” The higher the rate, the more leverage sellers have; lower rates tilt the scales in the favor of buyers. We segment rates this way:
The overall absorption rate in the metro area is just above 30%, indicative of a seller’s market. But market conditions can vary widely in neighboring communities, even within the same geographical area, depending on price and property type. Looking at rates over the last four months to assure consistency, here are five examples of how different things are for properties in the same price range:
Want to know how your neighborhood is doing? Give us a call!