Have prices the last month jumped the shark?

[Anonymous]

Why not bid on something like this?

https://www.redfin.com/VA/Fairfax/9519-Marcus-Ct-22032/home/9702117

Or this?

https://www.redfin.com/VA/Annandale/8702-Queen-Elizabeth-Blvd-22003/home/9715030

[Anonymous]

I certainly think so. In my slightly closer in but cheaper neighborhood houses that were selling in the mid 600s late last year are closing in the mid 700s in the last week.

[Anonymous]

House prices in NOVA at least are still very cheap compared to incomes... mostly because there remains a massive amount of buildable land, but that is slowly starting to change. I don't think even current prices are close to being out of line when you consider this is arguably the wealthiest, on average, place in the country.

[Anonymous]

Anonymous wrote:House prices in NOVA at least are still very cheap compared to incomes... mostly because there remains a massive amount of buildable land, but that is slowly starting to change. I don't think even current prices are close to being out of line when you consider this is arguably the wealthiest, on average, place in the country.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We've all seen the significant price jump from 2020 to 2021. But it seems that, in some areas at least, the prices the last few weeks have been extra bananas.

As an example, we are looking in Fairfax/Burke area. We have looked at a lot of houses and a lot of comps. Houses were consistently going about 6% above ask. But in the last month, some houses are going way above that. A house we saw that was listed at 775k just went for 900k! To be, these houses just can't hold that value, and it's made us decide to pause for a bit and wait until the desperation frenzy cools down a bit. I have no doubt that higher prices are here to stay, but I also am very suspicious of some of these homes going for the 900s in these areas.

Is anyone else seeing extra crazy purchases this last month?

New houses in these areas sell in the $1.2M+ range. It's close enough to the city, middle of Fairfax County so reasonable access to the jobs corridor there, decent schools.

I'm sorry but avg. homes in Burke don't go for 925, and these would have happily sold for 7-725 a year ago. over 200K appreciation in a year? And that is being generous for one of them.

PP and I think we will end up renting forever around here or until the dust settles

OP here. DH and I have decided if something doesn’t give by spring next year, we’ll have to leave the area.

[Anonymous]

Anonymous wrote:House prices in NOVA at least are still very cheap compared to incomes... mostly because there remains a massive amount of buildable land, but that is slowly starting to change. I don't think even current prices are close to being out of line when you consider this is arguably the wealthiest, on average, place in the country.

On average I don't think that's very true.. NOVA is one of the least affordable parts of the US and I think it's fair to say NYC/LA/Seattle/SF are at least a tier or two above the suburbs of DC. Wages here don't equate to what a family home can afford here. A huge part of the workforce is working for/with the government and they usually don't have 200k salaries. If the average family home is 700-800k+, how can someone with two kids and a single income afford a home? Yes they can live in a TH but there are plenty of places where you can earn 60-80k and buy a house for under 200k.

[Anonymous]

Anonymous wrote:Why not bid on something like this?

https://www.redfin.com/VA/Fairfax/9519-Marcus-Ct-22032/home/9702117

Or this?

https://www.redfin.com/VA/Annandale/8702-Queen-Elizabeth-Blvd-22003/home/9715030

At this point list prices don’t mean anything. The question is what they actually will sell for.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Why not bid on something like this?

https://www.redfin.com/VA/Fairfax/9519-Marcus-Ct-22032/home/9702117

Or this?

https://www.redfin.com/VA/Annandale/8702-Queen-Elizabeth-Blvd-22003/home/9715030

At this point list prices don’t mean anything. The question is what they actually will sell for.

The Marcus Ct house is adorable. I think it is reasonable. We have seen less escalations on prices, more private sales, etc. Also, agents are listing lower to get the bidding wars in low inventory areas.

[Anonymous]

Anonymous wrote:

Anonymous wrote:House prices in NOVA at least are still very cheap compared to incomes... mostly because there remains a massive amount of buildable land, but that is slowly starting to change. I don't think even current prices are close to being out of line when you consider this is arguably the wealthiest, on average, place in the country.

On average I don't think that's very true.. NOVA is one of the least affordable parts of the US and I think it's fair to say NYC/LA/Seattle/SF are at least a tier or two above the suburbs of DC. Wages here don't equate to what a family home can afford here. A huge part of the workforce is working for/with the government and they usually don't have 200k salaries. If the average family home is 700-800k+, how can someone with two kids and a single income afford a home? Yes they can live in a TH but there are plenty of places where you can earn 60-80k and buy a house for under 200k.

No, it's not. It's just about as affordable as it was 30 years ago. Whine and complain all you want, but the ratio of house payments to incomes hasn't changed at all in decades.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:House prices in NOVA at least are still very cheap compared to incomes... mostly because there remains a massive amount of buildable land, but that is slowly starting to change. I don't think even current prices are close to being out of line when you consider this is arguably the wealthiest, on average, place in the country.

On average I don't think that's very true.. NOVA is one of the least affordable parts of the US and I think it's fair to say NYC/LA/Seattle/SF are at least a tier or two above the suburbs of DC. Wages here don't equate to what a family home can afford here. A huge part of the workforce is working for/with the government and they usually don't have 200k salaries. If the average family home is 700-800k+, how can someone with two kids and a single income afford a home? Yes they can live in a TH but there are plenty of places where you can earn 60-80k and buy a house for under 200k.

No, it's not. It's just about as affordable as it was 30 years ago. Whine and complain all you want, but the ratio of house payments to incomes hasn't changed at all in decades.

Start your own thread if you want to debate this.

[Anonymous]

Anonymous wrote:I've been curious how appraisals have been able to keep up with the fast increases with each sale. Or maybe it doesn't matter because the only people buying these houses have been people with all cash or at least a significant amount down.

I'd also like to know this. We are planning on buying next month and can't do cash.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Why not bid on something like this?

https://www.redfin.com/VA/Fairfax/9519-Marcus-Ct-22032/home/9702117

Or this?

https://www.redfin.com/VA/Annandale/8702-Queen-Elizabeth-Blvd-22003/home/9715030

At this point list prices don’t mean anything. The question is what they actually will sell for.

Agree. Mark my words, both those houses will go for $100k over those asking prices. Or more.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I've been curious how appraisals have been able to keep up with the fast increases with each sale. Or maybe it doesn't matter because the only people buying these houses have been people with all cash or at least a significant amount down.

I'd also like to know this. We are planning on buying next month and can't do cash.

A house down the street from me apparently went for all cash. It was listed at $800k. Probably went for more. This is in Fairfax.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:I've been curious how appraisals have been able to keep up with the fast increases with each sale. Or maybe it doesn't matter because the only people buying these houses have been people with all cash or at least a significant amount down.

I'd also like to know this. We are planning on buying next month and can't do cash.

A house down the street from me apparently went for all cash. It was listed at $800k. Probably went for more. This is in Fairfax.

Yes. But the question is if appraisals are matching the rise in sale prices?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Why not bid on something like this?

https://www.redfin.com/VA/Fairfax/9519-Marcus-Ct-22032/home/9702117

Or this?

https://www.redfin.com/VA/Annandale/8702-Queen-Elizabeth-Blvd-22003/home/9715030

At this point list prices don’t mean anything. The question is what they actually will sell for.

Agree. Mark my words, both those houses will go for $100k over those asking prices. Or more.

Which is in price range of OP...