It can be frustrating to be in the market in the springtime. If you have a little more cash to spend, you may be able to reach into the pricier neighborhoods, like Georgetown, which clocks in with the priciest listing at $2,270 per square foot. But apparently, you'd be better off buying high end real estate this year than last. Average luxury home prices in the Washington, D.C., area slid 4.2 percent to $2 million, according to Redfin. Why?
According to reports from Christie's International Real Estate, it's because of overall stability and conservatism by buyers who are more concerned with buying a bit more prudently. Falling oil prices and a volatile stock market are generally to blame. The net worth of wealthy stock market investors everywhere has been in a state of erratic and constant change.
Overall, the luxury sector, where average home prices start at $2.2 million, slowed its growth in 2015 to eight percent, compared to about 16 percent growth in 2014. However, it's still growth, which, according to a report released Thursday by Christie’s, most likely reflects stability rather than weakness.
If you're not into all this luxury hullabaloo, then you might want to see how far your money goes in key markets. NeighborhoodX, a real estate analysis firm, looked at all residential, market-rate listings in fourteen representative DC neighborhoods to determine the price-per-square-foot ranges in the chart. An interactive version here shows you more data by hovering over the prices.
- Across the world, luxury-home sales get a reality check [Seattle Times]
- Washington, DC: Consolidated neighborhood price ranges (April 2016) [Neighborhood X)