Del Aria Team`s blog

What do past years tell us about today's Fairfax VA real estate market? The data is not yet available, but recent trends suggest that the market may be shifting toward balance soon. More homes are hitting the market than before the covid pandemic. However, showings are down relative to last year. As an example, a recent chart from ShowingTime shows that covid has caused a big dip in showings.

Demand shifted from suburban areas to urban areas

A new zoning ordinance is being considered for Fairfax County that would make it easier for developers to build efficiency apartments. Those apartments are in high demand as Fairfax continues to deal with an expanding homeless population. More low-salaried workers are arriving in the area seeking more affordable housing. Fairfax officials have also started to consider new ways to promote affordable housing for the workforce. Ultimately, zoning officials see the proposal as an opportunity for them to attract new businesses.

The change in housing demand is not limited to urban areas. In suburban counties, incomes vary greatly. In some, the incomes of families fall below 80 percent of the median income. In other areas, incomes in the inner suburbs are rising. The decline in inner suburbs is not seen in northern Virginia counties, where the income level is highest. Rather, the income of these counties falls below metropolitan averages.

Inventory is tight

Despite tight supply, demand for homes in Fairfax VA is high. In March, 1,410 homes sold, a 10% decrease from last year. Active inventory was down by 293 units, or 27%, but is still high compared to last month's 617 sold homes. This tight supply demonstrates increasing demand and limited supply. However, it may not be as bad as it seems.

While the price of homes in Northern Virginia is rising, it is still an ideal time to purchase a home. While inventory is tight, prices are still increasing, and a mild winter could kickstart the buying season early. The lack of supply in NOVA will continue to make it an advantageous time for buyers, even though prices may be higher than they were last month. However, you should not panic just yet.

Prices are high

The housing market in Fairfax VA remains tight and competitive, with a median home value around $600,000. The region is about 70 percent owner-occupied and 30 percent renter-occupied, suggesting that the average market rent is high and buyers are actively looking to buy instead of renting. Fairfax is located in the Nation's Capital, which makes it a prime location for both business and personal interests.

The real estate market in Fairfax VA is highly desirable, and the growth of the city is expected to continue in the years to come. With a thriving economy, home prices are expected to continue to rise. In fact, today's Fairfax VA housing market offers a huge return on investment. For the professional investor looking for a stable, growing environment, Fairfax VA offers the perfect opportunity.

Tax-rate reductions will mean millions of dollars in lost revenue

Virginia's tax-rate reduction plan will result in millions of dollars of lost revenue. While the state's inflation rate is now the highest in 40 years, gasoline costs are high due to the conflict in Ukraine and reduced Russian oil imports. Even after the reductions, the average tax bill will still rise, by $395 in Fairfax County and $465 in Arlington. This plan is opposed by some residents who want more government spending, while others say tax-rate reductions will benefit lower-income residents.

The proposed tax-rate reductions are part of the county's budget plan for 2023, and are part of a $1.11-per-$100 tax rate. However, the reductions will lead to a loss of more than $88 million in revenue for Fairfax County. The county is also reducing the number of positions at its prosecutor's office and allocations to schools.

Vacant properties are being sold

Vacant properties are being sold in Fairfair County, VA at a high rate. These vacant properties can range in price from $0 to $12,500,000. Interested buyers can contact a real estate agent to arrange a tour and get more information. Fairfax real estate listings include vacant land, townhomes, and condos for sale. The information provided will help them to decide on the best property to purchase.

A McLean vacant property at 1045 Bellview Road has a particularly strange history: the home's owner, Mishal Al Thani, maintains a mail address at the Qatari Embassy and continues to pay property taxes on the property. In Fairfax, an abandoned home at 3110 Covington St. is classified as "improved land with a dilapidated structure." The assessed value of this property in 2021 is $451,400.

NVAR partners with George Mason University to bring local housing data to members

NVAR has partnered with George Mason University to provide local housing data and analysis. The reports are produced by the NVAR and the Center for Regional Analysis. The data is intended for use by members only and may not be verified by NVAR staff. In addition, these reports may not serve as a proactive verification tool for NVAR members. NVAR members should seek independent verification of data before relying on them.

NVAR is a voice for real estate in Northern Virginia, representing nearly 13,000 REALTORS and real estate service provider members in the region. They are dedicated to providing education and resources to members and upholding professionalism and the principles of fair housing. The organization supports a $11 billion real estate industry in the Northern Virginia community and represents over two million residents. This webinar will provide members with regional and national housing data, along with forecasts for the next five years.