You might have thought the decline of economic activity would lead to a decline in home prices-but not in our strange year 2020. 2020 continues to step to its own beat, and leaving us all asking 'what is going on?'
What is really going on with our real estate market? According to Realtor.com, home prices at all market levels are accelerating at the fastest rates in the past six years. The largest home price increases are taking place in homes priced at 500K and above. We are also seeing demand for homes, especially larger homes jump. Again according to Realtor.com, sales of homes in the $750,000 to $1 million price range have increased 85.5% over the last year, while sales of homes worth $1 million or more increased 106.5%. The reality is that the rise in home prices and the demand for homes is occurring across board. We are seeing this price increase as more and more people are looking for larger homes. In general, the stay and work at home is partially driving the demand for larger homes . And the historically low interest rates are pushing people who now feel they can qualify for a home. The result is this hot hot market in the midst of COVID19.
What does our local market look like? We are seeing the same trends locally. Home buyers who start searching for a home are surprised to find how competitive the market is. They are also shocked at how fast homes come on the market and then quickly get an offer. If you are thinking of selling, you do not need me to tell you this is one of the best market we would see for a while. Below I share one of our local area, Fairfax county. Click on the link Fairfax County Zip codes