I’ve mostly given up blogging about the (now-deflating) housing bubble, because the housing bubble blog and its commenters do such a fantastic job that there isn’t much left to say. But every once in a while I come across something interesting enough to share.
22201 has perhaps been the hottest zip code in Northern Virginia, or at least in Arlington, during the bubble. It’s the home of the hippest (and most improved) neighborhood, Clarendon, not to mention GMU Law School. And the top of the market has suddenly completely dried up. According to data from this website (a must-go-to for anyone in the real estate market in No. Va.), in August 2006, there were twenty-five condos for sale for more than $700,000 in 22201. Meanwhile, there was only one sale, in the 700-800K range. Also in August, there were twenty-six single family houses for sale in 22201 for over $1,000,000. Meanwhile, only two sold. Even these sales only closed in August, and were likely agreed to in June or July, when the market was more robust. OTOH, more moderately priced condos and homes are selling at a much better rate. In the $300-350K range, fourteen condos sold, with sixteen on the market.
Conclusion: We are in the classic first stage of a down market, with luxury condos and the highest-priced homes leading the way down.