D.C.'s housing market slowed in 2015 after two years of considerable growth. Averages sales price, median days on the market and sales to list price ratio seemed to dip down to a pace that's only slightly ahead of the national market. D.C. area real estate agent and Washington Post contributor Tim Savoy takes a look at how the market has been doing so far in 2016:
Average sales price: On the whole, the average sales price of all homes of any type in Washington are up 1.44% year to date in 2016 — $646,640 this year compared to $637,452 last year. This is certainly well above the median sales price of a home nationally, which hovers just below $250,000. The areas to see the most gains, he says, are high-priced neighborhoods with developing areas outside the city center, such as American University Park and Cathedral Heights which rose 19% from June 2015 to 2016.
Median days on market: Unlike other leading indicators, median days on the market is measured in how it shrinks not grows. For the District, the average days on market as a whole are 39 days for 2016, down one day from 2015.
Sales to list price ratio: The sales price to list price ratio for all real estate sales in Washington has remained steady through the first half of 2016 at 98.9%. This means that homes sell on average for 98.9 percent of the listed value — for example, a home listed at $500,000 will sell on average in D.C. for $494,500. The biggest standout in 2016 is North Cleveland Park with a sales to list price ratio of nearly 105%.
Savoy predicts that growth for the rest of 2016 in the District will be slow. This may also drive more development in the outermost parts of the city, which includes areas such as Anacostia. The average sales growth will likely remain under 2% for the rest of the year.