Tuesday, July 10, 2007

MRIS June Housing Report: The Market Tanks

Today MRIS released its report on June sales of existing homes and condos in the District, those listed or sold by real estate agents. In short, the market tanked. Like May, June's YoY data show declines across all metrics [see figure below]:

  • Dollar volume was down 16.59%
  • The average price fell 6.84%
  • The median price fell 3.49%
  • The number of units sold - transaction volume - was down about 10.47%
  • Average days on market increased 28.57% to 63 days

It was bad all over. Condos led homes in terms of units sold, homes led in dollar volume. In June we see:

  • Sales volume. Overall, down 10.47%. YoY, condo sales volume was down 3.04% and home sales volume dropped 17.16%. All categories of single family homes saw a decline in sales volume: -7.35% for 2 bedroom homes; -20.22% for 3 bedroom homes; and -17.95% for 4+ bedroom homes.
  • Dollar volume. In aggregate, down a whopping 16.59%. Dollar volume for condos was catatonic (+0.79%), homes fell off a cliff (-25.4%). Lower dollar volume for all home sizes: -14.63% for 2 bedroom homes; -22.91% for 3 bedroom homes; and -28.95% for 4+ bedroom homes.
  • Average sales price. Again, down: 6.84%. Average prices for condos surged 3.95% to $427,752, while homes nosedived 9.94% YoY to $659,314 [am I too melodramatic?].
  • Days on market. Yes, on average the DOM grew to 63 days, but a closer look shows that more than 2/3 of all homes [70.5%] sold within 60 days.
  • Inventory. Based on June's transaction rates and active listings, there is a 4.9 month's supply of condos, an increase of 12.64% over May, while home inventories fell 1.05% to 4.79 months.

So what to make of all of this?

June's numbers nail the Spring selling season, aka 2Q2007; it's a disaster [I'll post the 2Q numbers in a future post]. If April's data was uninspiring and May's drove seasoned real estate agents to the nearest bar capable of mixing a stiff dry martini [three olives, please], June would make a seasoned broker cry. The only bright spot in the market was that condos were marginally higher on dollar volume and average price and three bedroom detached homes had a 12.28% increase in average price.

Detailed Data

Average Sales Price

Dollar Volume

Transaction Volume


Anonymous said...

Great post! Thank you for doing this.

Anonymous said...

RE:Chase Point Condo-Military Rd& Western Ave-
I and every person who lives there loves the building and location. Naysayers can't afford to live there and are sour grapes.Location,location,location-I have Metro,Giant,Borders,Bus,any restaurants I want and Bloomingdales,Cartier etc. What else is there?
Every amenity including gym and party room,underground parking.