This regularly-scheduled sponsored Q&A column is written by Eli Tucker, Arlington-based Realtor and Rosslyn resident. Please submit your questions to him via email for response in future columns. Enjoy!
Question: How did the Arlington real estate market perform in 2018 and what do you expect in 2019?
Answer: Over the last two weeks I reviewed how the detached single-family market and condo market fared in 2018 and this week we’ll take a look at the 2018 performance of Arlington’s townhouse and duplex market. Next week we’ll close out the four-part series with a detailed look into the data following Amazon’s HQ2 announcement.
Limited Price Growth, Strong $/SQ. FT. Growth
With prices surging in the detached single-family market in 2018 and in the condo market during the first half of 2018, one would expect a spike in townhouse prices.
In reality, North Arlington prices increased by a meager .8% over 2017 and dropped by 3.9% in South Arlington for an overall 2.5% increase in the average net sold price of an Arlington townhouse/duplex. If we drill down a bit further into the data, it turns out that all of the growth occurred in the 2nd half of 2018 in North Arlington.
How does .8% growth and a 3.9% loss equal an overall 2.5% increase in pricing?
Fair question… it’s because the volume of more expensive North Arlington homes increased significantly from 2017, and the volume of South Arlington homes dropped significantly from 2017. This caused North Arlington’s .8% to contribute much more heavily in the overall pricing.
Sold price doesn’t tell the entire story though. When I looked at $/sq.ft. (using above-grade square footage, no basements), I saw a different story unfold in 2018 with 5.3% growth across Arlington — 4.9% in South Arlington and 2.2% in North Arlington.
Couple this data point with the fact that South Arlington townhomes sold three weeks faster than North Arlington’s in 2018 and South Arlington buyers negotiated .4% less off the original asking price than North Arlington buyers, I predict that the South Arlington townhouse market is poised for significant growth in 2019.
What’s the difference between what you get in North Arlington and South Arlington? Quite a lot when it comes to the townhouse market. The average North Arlington townhouse has 2,100 sq.ft. above-grade and was built in 1988 while the average South Arlington townhouse has just 1,250 sq. ft. and was built in 1960.
2018 Arlington Townhouse Market Highlights
- The median net sold price increased by 2.6% to $546k.
- The average buyer could only negotiate 1.2% off the original asking price, which is less than what condo and detached single-family buyers were able to negotiate last year.
- The average 2 BR sold for $483k, the average 3 BR sold for $753k and the average 4 BR sold for $906k.
- The 531 sales in 2018, two-thirds of which were in South Arlington, came in just below the 559 in 2017.
- If you are looking for a townhouse built since 2000, be prepared to spend over $1M. The average net sold price in 2018 was just over $997k.
Inventory has been slowly trending downward over the last five years, but like everything else in Arlington, has reached an all-time low since the Amazon announcement.
Prior to December, the lowest average monthly inventory over the last five years had been 15 (Jan ’18) and 19 (Feb ’16) and December ’18 averaged just 10 homes available. As of January 21st there are 15 on the market.
Up next week… a similar look at the impact Amazon’s decision had on the Arlington market!
If you’d like a question answered in my weekly column, please send an email to [email protected]. To read any of my older posts, visit the blog section of my website at www.EliResidential.com. Call me directly at (703) 539-2529.
Eli Tucker is a licensed Realtor in Virginia, Washington DC, and Maryland with Real Living At Home, 2420 Wilson Blvd #101 Arlington, VA 22201, (202) 518-8781.
Update on Delayed Rosslyn Development — “The approved Arlington County site plan setting up the eventual demolition of two obsolete office buildings — one home to the Deep Throat garage…
Good Wednesday evening, Arlington. Today we published articles that were read a total of 14291 times… so far. 📈 Top stories The following are the most-read articles for today —…
ARLnow has been providing independent, in-depth coverage of Arlington since 2010. We are committed to keeping readers informed about the issues that matter most to the community, including those that…
Residents of The Shelton, an affordable housing development in the Green Valley neighborhood, are raising concerns about property management and poor treatment of residents. They previously raised these same issues…
Please join us on Saturday, June 3, from 2 to 4 pm for the Glencarlyn Home Tour in Arlington’s historic Glencarlyn neighborhood. Among the featured homes will be a sparkling new home by A&N Builders at 5604-4th St. South. The inviting front porch opens to a light-filled space featuring high ceiling, wood floors, gas fireplace, Pella windows, Shrock cabinets, Quartz countertop, and JennAir appliances. Doors from the family room open to a large covered porch with a few steps to the level, landscaped rear yard. Upstairs, there are four bedrooms, three bathrooms, laundry room, and linen storage. The big lower level has a rec room, gym space, and a fifth bedroom and bathroom plus even more storage. After leaving the home, stroll to the Ball-Sellers home, the oldest residence in Arlington, the community gardens at the library, Carlin Hall, and the 94 acre Glencarlyn Park. A lovely way to while away a late spring afternoon.
Is home ownership a goal of yours in 2023? Now is the time to make it happen! Grab a (virtual) drink with the area’s top Real Estate experts, learn all about the home buying process and on how you can get $1,500 towards your closing costs immediately!
Did you know the average Arlington renter will spend $150K in 5 years of renting? Stop paying down someone else’s mortgage! Join us for a Rent vs. Buy Happy Hour on Wednesday, June 7th at 6 p.m. via Zoom. If this time doesn’t work, we also are offering times convenient for your schedule!
A lot has happened in the local market since the beginning of the pandemic. Sip on your drink of choice and learn from Northern Virginia, Arlington and Washingtonian Magazines top producing agents! We will discuss the latest market updates, the home buying process and rent vs. buy cost savings. Please RSVP by clicking here.
Call/text Manavi at 703-869-6698 with any questions!
Homebuying 101: Steps to Getting Pre-Approved
Are you ready to jump into homeownership or started considering it but don’t know where to start? Financial preparation is key when thinking about purchasing your first home and the first step to getting pre-approved.
Join ACFCU’s mortgage loan officers
4th of July Celebration & Fireworks
Treat yourself this Independence Day with a world-class, private 4th of July extravaganza at the Military Women’s Memorial – a premier National Capital Region site.
Great food, fun, and the best views of Washington DC’s spectacular fireworks display. Relax, enjoy,