I know things get confusing in a HCOL area like DC, but if you're buying a $1.25 million duplex, or renting a $4000 unit in a multiplex, you're upper class. You're certainly not the 25-year-old middle-class nonprofit worker, teacher, or firefighter who thought this was the ticket to living the good life in Arlington |
+1 It already happens a lot. |
Thanks! For those of us who have smaller lots (5500 and smaller) and older homes, would you expect they would still sell to someone building a SFH? Or will we now have more buyers interested bc of the missing middle code changes? |
There are minimum widths for semi-detached houses and townhouses that means you effectively need a 64 ft wide lot to build them. So I think those lots are really limited to duplexes/triplexes/fourplexes. So more interest I guess but would depend on area as well. |
Arlington agent here. Every older home in poor condition generally sells to a builder. Now that they can diversify from building single family homes to multi family housing that they can quickly sell to investors, it will likely accelerate the pace because they will not be concerned about carrying and marketing costs. An agent asked for advice this morning on which builders to call to sell a tear down on an R-5 lot. I told her to call the three builders who have applied for MM permits. Permitting has been in place for less than a month, so you may have to wait for a year to collect data on tear downs used for single family versus multi family. |
If every older home is already sold to a builder how could it accelerate? Will they aggressively cold call people who live in older homes? |
Yes, but you’re not the same level of upper class that can afford a $2.5m new SFH. Most likely you are looking at a two professional income family that brings home around $300k - $400k and has little bit of money saved up or some family help, probably has some student loans from getting those professional degrees, and if they have kids has about $40k or more in annual childcare costs. That’s who is going to benefit- the UMC folks who used to buy here and found themselves increasingly priced out of what has become a place that is only welcoming to the very wealthy and very poor who won a lottery slot. The nonprofit workers and public servants have been priced out of the types of houses they want here for a long time. Yes, they could buy a tiny condo or rent a small garden style apartment even at their incomes, but they want space and a few walls of their own. MM isn’t going to give that to them. |
So naive and entitled (plus the misleading marketing by the Board for MMH) - these 20 somethings genuinely thought they were going to magically own in Arlington. I was in a community meeting with one of these young millennials who was arguing for MMH saying it was like a car, that she may not be able to own MMH right away (like a new car) but as more MMH is built prices will depreciate (like a car). A home owner in her 40s and 50s needed to explain that real estate and cars don’t depreciate/appreciate in the same way. This is what we were dealing with for a large number of YIMBYs. Lack of knowledge about economics and total naïveté/entitlement. |
You must not own. Everyone in Real Estate does this. Half my mail is/was home related. |
I think MM is precisely for those people. Compromises are going to have to be made of course, that’s what we did. We’ll have to wait and see but MM is ideal for those people. Only their entitlement will be an issue the way I see it, everyone here thinks they deserve a sfh |
Rebranding of fake BS. In Alexandria the increased height ordinance was rebranded as a racial program to generate more support. |
Yep. All the “entry level” SFH homes will be bought by all cash investors. |
+1. But I think the potential buyers will step up their efforts now that lots can be developed for investors rather than sold to a SFH owner. I already saw an email from the county essentially warning people not to sell off-market if they want the best price. Sadly, an email isn’t likely to reach the people most at risk of leaving hundreds of thousands of dollars on the table. |
I am a home owner and I do get that mail. That's why I find the expectation that older home sales will accelerate because of MM a little hard to believe. |
Meh. We sold off market and definitely got "market value". If you follow the market closely you can price it correctly. |