Housing prices falling ? U ST NW house

[Anonymous]

Anonymous wrote:My 23 year old daughter is moving to DC in a rental. For a kid this is good news. I keep seeing basic studios and one bedrooms in older buildings prices falling. At this rate by 25 she could buy a place.

Not to discourage her buying property but have you compared the true rent vs own costs of studios in old buildings? At 7% interest rates + high HOAs + likelihood of $ special assessments (old elevators are incredibly expensive to maintain and replace) … it’s not the deal you think it is based on the seemingly cheap sticker price.

[Anonymous]

Huge factor is the main floor is so poorly laid out and designed vs comparable rowhouse renovations. You walk in, you can sit in a couch at the entrance and stare at the dining table. Then the closed off kitchen that’s built only for cooking not eating/lounging/congregating is designed in a way that doesn’t align with the architecture of a classic row home (there are ways to do modern in a classic rowhome; this isn’t it).

So you spend all this money and when guests come over where do they go, do they just sit at the table all night? And when you want to chill and watch TV as a family where’s your main floor hangout spot? These are things people expect and can get at this price.

This is why it had trouble selling previously in the red hot low interest rates market of 2022. It spent a few months on the market then and went for under ask when every other home was flying off the shelf in days over ask.

[Anonymous]

Anonymous wrote:

Anonymous wrote:What do you mean what is happening?
Economics indicators show we are headed to a depression.

The "Philip economic indicator" refers to the Phillips Curve, a macroeconomic theory that suggests an inverse relationship between unemployment and inflation. In short, lower unemployment is generally associated with higher inflation, and vice versa.

We are all screwed.

I’m no fan of what’s going on, but I wouldn’t use this house as a representative example of the entire market. Right now you are not seeing other homes with $500k+ price cuts. This one is a weird combo of factors that makes it unappealing to buyers at this price point.

+1 It's one house with some flaws in a neighborhood that's been experiencing a decrease in desirability. There's an (unaddressed) uptick in crime which is deterring many people from buying there.

[Anonymous]

DC is a failed state - so naturally real estate affected

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:What do you mean what is happening?
Economics indicators show we are headed to a depression.

The "Philip economic indicator" refers to the Phillips Curve, a macroeconomic theory that suggests an inverse relationship between unemployment and inflation. In short, lower unemployment is generally associated with higher inflation, and vice versa.

We are all screwed.

I’m no fan of what’s going on, but I wouldn’t use this house as a representative example of the entire market. Right now you are not seeing other homes with $500k+ price cuts. This one is a weird combo of factors that makes it unappealing to buyers at this price point.

+1 It's one house with some flaws in a neighborhood that's been experiencing a decrease in desirability. There's an (unaddressed) uptick in crime which is deterring many people from buying there.

+2. U St, Shaw, and Columbia Heights have de-gentrified to some extent and have seen an increase in crime. I would have considered a townhouse in this are 10ish years ago but it would give me pause now, especially asking for top dollar with some weird layout issues. This in particular is very close to U St. And the metro, which is a turnoff. People in the 2 million price range have better options.

[Anonymous]

Prices dropped in 2023 around there and has stayed down.

[Anonymous]

Anonymous wrote:DC is a failed state - so naturally real estate affected

AAA bond rating disagrees with you.

There is crime, like a any other city. Many "red" areas have higher per captia crime, so there is that.

[Anonymous]

Anonymous wrote:

Anonymous wrote:DC is a failed state - so naturally real estate affected

AAA bond rating disagrees with you.

There is crime, like a any other city. Many "red" areas have higher per captia crime, so there is that.

The city overall is fine. I'm as Dem as they come and I live not far away in Logan, so not some Maga from Frederick, but...I wouldn't live here for almost 2 million dollars. I was assaulted around this area and the dog knappings at gunpoint have not been selling the U St corridor.

[Anonymous]

Double stabbing less than two blocks from there on Saturday night:

https://x.com/DCNewsLive/status/1913812539114168519

[Anonymous]

Anonymous wrote:

Anonymous wrote:DC is a failed state - so naturally real estate affected

AAA bond rating disagrees with you.

There is crime, like a any other city. Many "red" areas have higher per captia crime, so there is that.

AAA bond rating is gone:

https://x.com/Meagan_Flynn/status/1915162415131488727

[Anonymous]

I live 2 blocks west of this house. My hunch is that the sellers paid too much for it in 2022 and that the asking price now is more realistic. It’s relatively small, poorly laid out, devoid of charm, and unlike many of its neighbors lacks an income generating English basement.

As an aside, I’ll never understand why DCUM gets off on bashing DC. I also
wonder how many previous posters actually live within, say, 5 miles of the U Street area. I suspect not very many. Our neighborhood has its problems and its challenges, no doubt about it, but we love it and wouldn’t live anywhere else.

[Anonymous]

Anonymous wrote:U St and Columbia Heights peaked in the early 2010s and have been going downhill ever since. Too many weed stores on U St and way more crimey than it was in 2008-2014.

This.

[Anonymous]

Anonymous wrote:My 23 year old daughter is moving to DC in a rental. For a kid this is good news. I keep seeing basic studios and one bedrooms in older buildings prices falling. At this rate by 25 she could buy a place.

I wouldn’t recommend it. She won’t get her money back.

[Anonymous]

I think the issue is partly the economy, partly crime in that specific spot, but mostly the horrible renovation/layout. Where does a coat go or boots and umbrellas? Where do I securely store my bike? Is there a basement that’s usable or just a crawl space?

[Anonymous]

11th st is far from ideal. Someone grossly overpaid when they purchased it. It’s a pretty terrible renovation - everything f nice about that house was ripped out at some point. Between the cheap reno and busy street, it’s still grossly overpriced.