two million is the new starter home price for close in neighborhoods

[Anonymous]

Anonymous wrote:

Anonymous wrote:I live in N Arlington and it does feel like everything on the market near me is a 6,000 sq ft new build for over $2m. You aren't seeing normal houses for sale, though I'm sure there are some but they just go under contract instantly.

All of those gigantic new builds were previously normal sized houses at much lower prices, usually between 700k-1.5m. The redevelopment of those lots undoubtedly is making housing in N Arlington more expensive. The price of these new builds has also gone up dramatically. A few years ago, when we moved to Arlington, those new builds were also going for 1.25m-1.5m. Now they're 2m-2.5m. I'm consistently surprised by the price points, especially given interest rates.

New build are more like 2.5m - 4m+

It's not quite that bleak.

https://redf.in/0xUgFf

https://redf.in/dqpu6y

https://redf.in/XmnY4I

[Anonymous]

Anonymous wrote:
The spring market came and went it seems, and no, I don’t see things picking up in April. A few weeks ago, someone posted feeling disheartening after saving for 7 years to get a sfh and still can’t find a home in their 1.5M price point in the target neighborhood that she previously thought in 2019 she could afford. I thought she was being over dramatic. But, in all honesty, I’ve been paying close attention to several close in zip codes and I’m not seeing much inventory other than condos under two million, not even at 2M. Yes, there have been a few homes in the 1M-1.5M mark but they’re few and far between. All I see are new-build starting at the 2.5M. I’ve seen people commenting buying first homes at 1.8M. If I was on the market right I would depressed too.

I have a TH in a sought after neighborhood that online estimators are now saying is in the 2M range. I called one of those high earning realtors 3 years ago when I was thinking of selling and moving out of the area, after researching my address, surprisingly, she said to me, “ you better be sure you’re never coming back this way because you might not be able to afford to afterwards.” I’m thankful she wasn’t one of those greedy realtors.

I live well within the beltway in McLean near the Arlington border and St John’s Catholic Church. The original homes here are going for $1.2-1.5m. They are a fine and well under $2million.

[Anonymous]

Anonymous wrote:There’s no point in a starter home now. Affordability is out the window you’ll be in that home a long time & possibly forever.

Yep. We were like go big or go home on our first and final home. We're going to stay in CCMD until we die

[Anonymous]

Some of us in the public sector and without generational wealth are still in our starter homes with no plans to leave. Location, location, location.

[Anonymous]

In Spring 2017 I was looking in Bethesda/Close in Potomac for a home. My budget was 1.2 to 1.4 million. Just wanted a home not a fixer upper, five bedrooms (the 5th could be tiny), 2.5 baths, two car garage, finished basement, on a decent plot.

I only found one Bethesda home a Chase REO and bid but someone tipped my bid. It sold $1,450,000 million.

I ended up in close on Potomac. I know cry me a River priced out of Bethesda into Potomac.

DC is still cheap. Gaithersburg is still good prices and a few other places not that far out

[Anonymous]

A starter home is $166,000 in Bethesda. https://www.redfin.com/MD/Bethesda/5225-Pooks-Hill-Rd-20814/unit-1315S/home/12449988

When I was a newlywed I lived in a one bedroom coop till wife 8 months pregnant.

This one $800 maint includes, heat, water, electric, cable, property tax, landscaping, pool, tennis use of gym. I recall my coop bank wanted 25 percent down bear rate.

Let’s assume you get this place $160,000. Put down 25 percent. That is around a $124,000 mortgage. A 7 year ARM no points is 6 percent. That is like a $700
A month mortgage. So for $1,500 a month as literally your only bill you live here a few years and bank cash.

[Anonymous]

Anonymous wrote:A starter home is $166,000 in Bethesda. https://www.redfin.com/MD/Bethesda/5225-Pooks-Hill-Rd-20814/unit-1315S/home/12449988

When I was a newlywed I lived in a one bedroom coop till wife 8 months pregnant.

This one $800 maint includes, heat, water, electric, cable, property tax, landscaping, pool, tennis use of gym. I recall my coop bank wanted 25 percent down bear rate.

Let’s assume you get this place $160,000. Put down 25 percent. That is around a $124,000 mortgage. A 7 year ARM no points is 6 percent. That is like a $700
A month mortgage. So for $1,500 a month as literally your only bill you live here a few years and bank cash.

There are also 2 BR condos in the $200-350k range in McLean and Alexandria.

[Anonymous]

Anonymous wrote:1. Those aren’t starter homes
2. No one has to live in those places
3. I have no sympathy

+100000

I don't even have the energy to pull out my tiny violin for people who think a "starter home" is a close-in, 4+ bedroom, fully flipped house zoned to GS8+. Just so, so stupid, an convinced by their own stupidity that they have it harder than anybody else.

[Anonymous]

Anonymous wrote:I suspect we have very different ideas of what a starter home is.

+1. My starter home in Arlington was a 2 bedroom 1000 sq foot house.

[Anonymous]

Anonymous wrote:

Anonymous wrote:You are not talking Starter Home. You are talking about all the things on your ideal checklist. Big difference.

+1. Our starter home had 1.5 bathrooms

Yes! I just posted about my 2 bedroom starter home, it was ONE bathroom. A great house and we've now added on some years later.

[Anonymous]

Anonymous wrote:A starter home is $166,000 in Bethesda. https://www.redfin.com/MD/Bethesda/5225-Pooks-Hill-Rd-20814/unit-1315S/home/12449988

When I was a newlywed I lived in a one bedroom coop till wife 8 months pregnant.

This one $800 maint includes, heat, water, electric, cable, property tax, landscaping, pool, tennis use of gym. I recall my coop bank wanted 25 percent down bear rate.

Let’s assume you get this place $160,000. Put down 25 percent. That is around a $124,000 mortgage. A 7 year ARM no points is 6 percent. That is like a $700
A month mortgage. So for $1,500 a month as literally your only bill you live here a few years and bank cash.

This is a condo. Not a home. ???

[Anonymous]

Anonymous wrote:I suspect we have very different ideas of what a starter home is.

Our starter/only home is 900 square feet and under $400K.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You are not talking Starter Home. You are talking about all the things on your ideal checklist. Big difference.

+1. Our starter home had 1.5 bathrooms

Yes! I just posted about my 2 bedroom starter home, it was ONE bathroom. A great house and we've now added on some years later.

We have three bedrooms/tiny and one bathroom too. 1.5 would be great.

[Anonymous]

Anonymous wrote:

Anonymous wrote:A starter home is $166,000 in Bethesda. https://www.redfin.com/MD/Bethesda/5225-Pooks-Hill-Rd-20814/unit-1315S/home/12449988

When I was a newlywed I lived in a one bedroom coop till wife 8 months pregnant.

This one $800 maint includes, heat, water, electric, cable, property tax, landscaping, pool, tennis use of gym. I recall my coop bank wanted 25 percent down bear rate.

Let’s assume you get this place $160,000. Put down 25 percent. That is around a $124,000 mortgage. A 7 year ARM no points is 6 percent. That is like a $700
A month mortgage. So for $1,500 a month as literally your only bill you live here a few years and bank cash.

This is a condo. Not a home. ???

Who days a home is a stand alone house?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:
The spring market came and went it seems, and no, I don’t see things picking up in April. A few weeks ago, someone posted feeling disheartening after saving for 7 years to get a sfh and still can’t find a home in their 1.5M price point in the target neighborhood that she previously thought in 2019 she could afford. I thought she was being over dramatic. But, in all honesty, I’ve been paying close attention to several close in zip codes and I’m not seeing much inventory other than condos under two million, not even at 2M. Yes, there have been a few homes in the 1M-1.5M mark but they’re few and far between. All I see are new-build starting at the 2.5M. I’ve seen people commenting buying first homes at 1.8M. If I was on the market right I would depressed too.

I have a TH in a sought after neighborhood that online estimators are now saying is in the 2M range. I called one of those high earning realtors 3 years ago when I was thinking of selling and moving out of the area, after researching my address, surprisingly, she said to me, “ you better be sure you’re never coming back this way because you might not be able to afford to afterwards.” I’m thankful she wasn’t one of those greedy realtors.

Nice humblebrag. So go ahead and tell us where these $2M townhouses are the norm.

Humblebrag? This is not a starter home for us, we have been trying to move from our TH since we purchased it. My spouse has found everything to be unhappy about this home except the location, but we can no longer afford a move up home, ever.

You could find a move up home just not in your current area or other HCOL areas.