Dow breaks 10K. Here's where Dow is today.
image: New York Times
And here's the current market conditions over in Northern Virginia and Washington DC: The pricing support just collapsed. We're now entering free falling (price) season happening in certain neighborhoods. The $100K level is the kind of prices that we haven't seen for a while. Like a few years.
This kind of market, is the kind of market for bargain hunters if they are willing to take the jump. Because after inventory of these homes are depleted, we probably won't see this kind of prices for a long while. Right now we have a perfect storm, a combination of: High inventory, falling prices, financial conditions that makes it harder to get loans.. but not impossible, and creeping up interest rates (though historically still low).
CRA has identified hoods where they see number of foreclosures creeping up in their recent study on foreclosures. ID of up and coming hoods: Alexandria, Falls Church - part of Fairfax county.
Can you believe it? The lowest price of properties on MLS for Northern Virginia (among the 86 homes on the market) are bank-owned and listed for $68,899 and $69,100. A couple hundred dollars difference in prices. Big deal..
BTW. Some of the sub-100k homes were selling in the $200's not too long ago.
Over in DC, we've got a different picture. For sale properties has a combination of parking space (for $35K), condo, single family house, rowhouse/ townhouse/ duplex. There's even a teaser price.. for a home listed $10,000 in Petworth. Really? Wait a sec. Turns out to be this property is going the auction route. So, the $10K price is a teaser.
HOT SPOTS where you can find properties under $100K:
- Alexandria: zip codes 22309, 22306
- Falls Church: zip codes 22042, 22046 (City of FC)
- Fairfax: zip codes 20121, 22003
- Washington DC: zip codes 20019, 20032, 20020
The four condo development with the most condos for sale under $100,000 in No. Va: Sequoyah, The Villages, Colchester Towne, The Seasons. Most of the condos on the market here is either bank-owned or short sale. More of the bank-owned condos or REOs.
There are still condos in the hoods with $100K selling way above the level. Am sure that these sellers may go down in prices, too.. soon. Sellers will have to deal with the reality (below comps).
The truth is: There is no way they can compete with banks' aggressive pricing.
When banks sell, they win....
Don't believe it? Check this out. [Click to view larger image, or view PDF here]
DC listings [MRIS].
No. Va. listings [MRIS]
BTW, links good for 30d only.