AS you’d expect the Washington property market, like London in Britain and Paris in France, is very different to the rest of the US housing market.
While many US cities and states are still struggling, Washington home values have practically recouped the losses made during the downturn and is currently on an upward path.
A recent report by Clear Capital a 5.3% house price growth saw Washington rank second behind Honululu (7.2%) in terms of property price growth in 2010. The group is predicting that a 6.5% growth in Washington home values this year will be the largest in the US.
According to Clear Capital it is not just the prestige pushing Washington’s housing recovery, but the strong employment sector and low foreclosure numbers. With US unemployment currently at 9.8%, Washington’s 5% is clear indication of the massive potential of the city. Also, only 15% of Washington properties are bank owned compared to 40% in other areas of the country.
Locations such as Capitol Hill, Northwest D.C., Bethesda, and Chevy Chase are in higher demand due to the desirable locations and centrality. The towns that are further away are seeing slower increase.
2011 may also see a rise in property investors as they see the home values beginning to increase.
The crisis has led to the gaps between major cities and affluent towns and their less affluent counter parts severely widened. While Washington maybe an extreme case it certainly is not an isolated one.
No comments:
Post a Comment