Let's Talk Real Estate!

The Good News (for a change) about the Arlington Market!

from Lisa Young

As we brace for the holiday season the real estate scene is usually pretty quiet. Our office, however, is busier than ever! We are thrilled for the business but slightly perplexed by it as we, like many of you, watch the news and worry about the future.

The market may be better explained as a "Tale of Two Markets" with things inside the beltway looking quite different than those outside the beltway. To better understand what exactly is going on, I turned to raw data provided by the Metropolitan Regional Information Systems (our local multiple listing service).

In its 3rd quarter report, prices are only slightly down from the same time last year inside the beltway while days on market (total days a home is listed for sale prior to getting a contract) are steadily declining. Also of key significance, the 'for sale' inventory is down as more buyers are taking advantage of favorable interest rates and fewer homes are being listed for sale.

Outside the beltway the numbers are different, and as gas prices remain a mystery, buyers are opting for shorter commutes making the Arlington market more and more attractive. All this combined with a tighter and more expensive rental market, sturdy local employment conditions and a projected population increase point to a much more favorable year for our sellers in 2009, or at least a more even market.

The bottom line is that there is still a fair amount of uncertainty about the economy and there are, no doubt, many, many potential buyers still watching from the sidelines. The trick is to be ready when they are finally ready to commit. 

(Information gathered from MRIS "Trends in Housing at 3rd Quarter 2008" and is deemed accurate but not guaranteed)

The Latest from Laura - Is a Housing Recovery on the Way?

How nice it would be to say Yes. Instead, the answer is that it all depends. Market success and failures are zip code specific. The media reports national news, so be careful not to paint your house (or your zip code) with the same brush the media is using.

Our market in the general Washington DC area has strengths and weaknesses. The strong markets remain the usual suspects: Washington DC, Arlington County and the City of Alexandria. Fairfax County is too large to generalize; the closer in, the better the market. Given the climbing costs of transportation, those areas will continue to perform well, and will likely enjoy an early boost of price appreciation.

Inventory is key to turning the housing market around. High levels of inventory favor a buyer's market and lead to aggressive price negotiation. Building permits continue to fall and eventually housing inventory, both re-sale and new construction, will shrink. When that happens, we will start to see the recovery of the housing market. Earlier this year, some economists belived that the second half of this year would show real improvement. That optimism has been revised to late this year.

In my immediate experience, there is strong buyer interest in our real estate market. Most buyers are slow to act, and feel anxious that the market may continue to decline. If you plan to stay in your home for at least 4-6 years, then I believe you should consider buying a home. Longer than 6 years is a no-brainer; our market will improve and we will see price appreciation.There is no doubt in my mind.

I believe we are at the bottom of our market in the DC region, as we have already seen the closer-in communities improving. If you would like to discuss your particular situation, or review a value analysis of your home/community, please give me a call. I'd be more than happy to bring you up to date.   

The Green Corner by Michelle Sagatov

Some Things to Make your Home a Little Greener

Indoor plants: Some recent studies (including one from NASA) have shown that particular plants can help to improve your indoor air quality. Bamboo palm, Chinese evergreen, Gerbera daisies, English ivy and Peace lilies are among the list of beneficial houseplants.

Window coverings: Try using natural materials and heat reflecting window treatments. Some eco-friendly sustainable window coverings include those manufactured from high quality rapidly renewable grasses, reeds, bamboo, hemp or other cellulose fibers. When you replace curtains or blinds, keep these green choices in mind.

Low-Flow fixtures: Replace your toilets with low-flow (1.6 gallon) and dual flush toilets, and put low-flow faucets throughout your home. Just replacing a shower head can save from 3 to 28 gallons of water for a 5 minute shower!

Hot water heaters: Go with solar water systems or tankless, on-demand water heaters. The solar heaters use the sun so your energy costs are non-existent, and the tankless heaters only heat water when you need it, removing the constant energy loss associated with a standard hot water heater. Plus, you never run out of hot water.

Mattress: Naturally flame retardant wool and cotton mattresses and futons used with organic linens allow for air circulation and a healthier sleep environment. Take a look at some of the offerings the next time you're in the market for a new mattress.

Lighting: Increase natural light (let the sunshine in!), and make the switch to compact fluorescent bulbs and energy star fixtures.

Furniture: Green furniture is getting easier to find everyday. Sustainably-grown solid wood furniture with non-toxic finishes, organic fabrics and natural cushioning materials are kinder to the environment and to the health of your family, too.

Flooring: Use natural fiber area rugs in combination with non-toxic flooring materials.

Appliances: As your appliances age, replace them with Energy Star rated models. You'll be helping to save the planet, cutting your energy bills, and sometimes even getting a tax credit.

Cleaning products: The aisles of your local grocery store are filled with alternative cleaning supplies: non-toxic, fragrance-free products; and you can always look into old-fashioned (but effective) homemade methods.

Improve your Curb Appeal to Sell your Home

In a new study, 82% of real estate agents surveyed said buyers decline to see the interior of a home when they are not impressed by the exterior. What this means to the home seller, particularly in a tough market, is that curb appeal matters. Big Time.

Take a look at your home with a critical eye. You want it to look inviting, well-maintained, and clean.

Put away any toys & bikes, and clean up the clutter (yard ornaments, yard tools, hoses). Fill potholes in your driveway. Tidy up & weed the walkway. Paint the front door, and use a power washer on the siding, brick & deck.

Keep your lawn cut, weeded & edged, and mulch any bare ground. Trim the greenery -- trees from the bottom and foundation plantings from the top, so they don't block the windows. And wash those windows--it will make a huge difference on the inside, too.

If you don't have any flowers, plant some. Color is a good thing. Straighten the gutters, the mailbox, the fence...anything that sags. Repair any broken windows and shutters. Fix the doorbell, tighten the doorknob, oil the hinges. Add a new welcome mat.

Make sure that any potential buyers are so impressed with the outside of your home that they can't wait to see the inside. Now that's curb appeal!