What will these $2 million-plus new builds in Bethesda sell for?

[Anonymous]

These two new builds in Bethesda 20817 are asking $2.8 million -- which I regard as pre-interest rate hike pricing levels. The builders probably factored prices that high into their cost and profit expectations, and are reluctant to consider the impact of the rate hikes.

What do you think these will sell for (eventually)? Am I right to think that they are overpriced?


https://www.redfin.com/MD/Bethesda/7503-Elmore-Ln-20817/home/180483004

https://www.redfin.com/MD/Bethesda/7704-Holiday-Ter-20817/home/10667326

[Anonymous]

Really hard to say; at that price point you might be looking at cash buyers so interest rates moot?

[Anonymous]

Anonymous wrote:at that price point you might be looking at cash buyers so interest rates moot?

No, because cash buyers could always invest their money at high interest rates and rent cheaper instead.

The price/rent ratio should be stable. If interest rates rise, and prices remain stable, then it becomes more costly to own. Unless interest rates fall, long-run prices must fall or rents must rise.

D.C. real estate appreciated 25%+ during Covid. I plan to keep renting for a few years. Maybe rents will rise 10%-20% over the next three years, and buying will become attractive again.

[Anonymous]

I’d say 10% below current ask.

[Anonymous]

These houses look very pretty and while expensive, they are cheap and affordable compared to South FL. Considering that we’ll paid jobs are plentiful in DC, you people are lucky to live there.

[Anonymous]

It surprises me that people want to pay this much to live in a blah neighborhood where there is nothing you can walk to and nothing much to do. We live a few blocks away from these houses, and while the neighborhood is fine, it’s definitely nothing special. Just sprawling, nondescript suburbia. At least nearby Kenwood has a sense of neighborhood identity with holiday parties and such. There’s plenty to walk to just a little east of here, but prices are also higher the closer you get to Woodmont or downtown Bethesda. Our neighborhood is relatively close-in, so that’s great in terms of commuting, and the schools are decent, but it just seems a little sad that there isn’t more going on in terms of community feel.

[Anonymous]

I don’t understand why you believe there would be a drop in prices, OP. New builds in that area aren’t that plentiful. Do you really not get that there are plenty of people here willing and able to pay $$$ for a nice size, nicely built house near those schools??

[Anonymous]

These new builds look like crap for that price. House itself probably a little over a million to build

[Anonymous]

There are so many highly paid people in this area who have been indoctrinated with the belief that they must live in the Whitman cluster, so I doubt you’ll see much of a discount on these houses.

[Anonymous]

Man those are really boring for nearly 3 million.

[Anonymous]

Anonymous wrote:There are so many highly paid people in this area who have been indoctrinated with the belief that they must live in the Whitman cluster, so I doubt you’ll see much of a discount on these houses.

This. Both houses are in the walk zone for Whitman and Pyle.

[Anonymous]

I agree with those who say price is too high.

The banner team first house tends to price high.

People who buy at this price will probably be underwater when they say in 3-7 years.

[Anonymous]

Second one even more overpriced.

[Anonymous]

Anonymous wrote:It surprises me that people want to pay this much to live in a blah neighborhood where there is nothing you can walk to and nothing much to do. We live a few blocks away from these houses, and while the neighborhood is fine, it’s definitely nothing special. Just sprawling, nondescript suburbia. At least nearby Kenwood has a sense of neighborhood identity with holiday parties and such. There’s plenty to walk to just a little east of here, but prices are also higher the closer you get to Woodmont or downtown Bethesda. Our neighborhood is relatively close-in, so that’s great in terms of commuting, and the schools are decent, but it just seems a little sad that there isn’t more going on in terms of community feel.

The schools are more than decent. You’re paying to be able to walk to the best middle and high schools in the county, and for the easy commute to DC

[Anonymous]

Hard to tell as much for second home (no interior pics), first house the kitchen layout is a bit awkward (the work triangle has the fridge at the far end of the large island, not next to stove, sink), and the range hood looks like it is too small for the range (should be one size larger).

The cabinets look like they cut corners with overlay vs. inset doors/drawers. I also just think the marble look quartz looks like plastic and is going to look terribly dated in a few years, but I understand that’s what’s popular (I would have used quartzite).