Fairfax Living Real Estate Blog: October 2009

This article was from the Washington Examiner dated October 18, 2009. The Principal Daniel Meier is still in office as the Principal presumably until found guilty in a court of law. My only objection is what kind of morals does this teach our youth? Robinson Secondary School is an exceptional high School in one of, if not, the best school systems in the United States. We continually tell our kids not to steal or do drugs, and then this happens...

 http://www.washingtonexaminer.com/local/crime/Teachers_-principals-caught-in-fraud-case-8398445.html

On Tuesday (Oct 27th) I went to a Broker's open hosted by the listing agent Ken Terrell (703) 850-2345. Ken had called me the day before and asked me to come see it. I was impressed with how great a condition this charming home is located at 3200 6th Street S, Arlington, VA 22204. If you drove up to the house, and did not go inside, you would miss the charm of this property. As you walk in you enter the foyer, to the right a sunny dining area. You then move through to a thoroughly modern Kitchen and den/Family room area. One bedroom and a full bathroom are on the main floor with two bedrooms and a full bath on the 2nd floor. The basement, which is partially finished, has an office area as well as laundry room and utility area.

The side patio in the backyard is perfect for sitting outisde and entertaining in the warmer months. The fenced in backyard is perfect for dogs and small children to play. This property is a perfect starter home or for young professionals who want single family living without the hassle of a large yard and upkeep. It would also make a great home for empty nesters. Priced at $559,000, and looking at the comps, this property will not be on the market very long. The MLS number is AR7188945.

For those that are not agents or not working with someone, I would gladly show the property as a buyer's agent. Here is a link through realtor.com.

http://www.realtor.com/realestateandhomes-detail/3200-6Th-St-S_Arlington_VA_22204_1113589133

It looks as if the major players in congress have come to agreement regarding the extension of the $8,000 tax credit, except it will be 10% less or $7,290. The credit will be extended until April 30th 2010 for homes under contract (the current incentive is for homes that have been "Closed"). Considering that there has been a considerable amount of fraud with the current incentive, how much more might there be if the home had to only be "under contract." Sounds like a loophole for fraud but overall good news for real estate sales. If you have been a homeowner for at least five years, you will also now qualify for the tax credit. As I have been saying, keep a positive mind. Things will work out. I am looking for a productiove 2010 and so on.

An interesting article form Marketwatch today about the "unexpected" drop in NEW HOME sales. Although housing prices are up about 1.2% in August but down 7% over the last year  in the Washington D.C. area(WSJ, Oct 28, 2009), we are still stuck in a tough market. My calculated guess is that new home sales are down because of the number of foreclosures on the market. Although most of the sales in Northern Virginia are some form of distressed property, the housing market is tight here. There is an oncoming threat of a boatload of foreclosures in 2010. So, this general drop in New home sales may not reflect the local Northern Virginia or D.C. housing market.

Keep this in mind as you read this article. Here is the link:

http://www.marketwatch.com/story/sept-new-home-sales-drop-first-time-in-6-months-2009-10-28?siteid=bnbh

I recently saw an individual wearing a button at a business meeting that said " I refuse to participate in a recession." Wow! What an optimist! That is how I try to think but every now and then I read something in the Wall Street Journal, The Washington Post, or online that gives me the creeps about the coming Winter sales season and the foreclosure "dump" predicted in 2010. A huge surge of ARM resets are predicted for about August 2010. In the meantime, we are dealing with an average nationwide unemployment rate of about 10%. Luckily, here in Northern Virginia, that rate is about 6.5%. Depending on your profession, there are jobs available, especially hard to fill jobs requiring a U.S. Government clearance and, somewhat surprising, I learned from a masseuse at Message Envy in Burke, VA that they are expanding and business is booming! There are jobs out there, but the media has literally scared the living daylights out of the average citizen in regard to whether it is a good time to buy or not.

In my humble opinion, housing prices will not drop much, and will likely continue to stabilize or even go up in the Northern Virginia housing Market.There are likely to be exceptions and periods of time in the next year when activity is lower and inventory is a bit higher. Currently, there is little inventory in the local housing market. In many cases, the homes for sale are bid well over the asking price especially for the nicest properties. There is roughly a four month supply of available houses and that includes the most battered foreclosures and million dollar plus properties. In some areas it is pretty close to being a sellers market.

So what does that mean? It means the Northen Virginia Real Estate Market is in pretty good shape overall. It also means that it is a good time to buy. If you are thinking to time the market think of it this way. You will not know that the bottom has been reached until the prices start going back up. By then you have already missed the bottom and that deflates the "I am going to wait until prices hit rock bottom" myth.

Walking aroud the Country Club View neighborhood yesterday, I noticed a good bit of activity. Specifically, homeowners were having contractors update their homes. One had just been updated and sold, a nice colonial with five bedrooms and a nice wooded backyard had been recently updated and a new young family with small children had just moved in over the weekend. Diagnally across the street, a home is being renovated either for future sale (A "Coming Soon" sign is in the front yard) or to be inhabited by the current owner. The neighborhood gossip is that the current owners family is moving into the home. If that is the case, then the sign is Likely in the yard to help a realtor friend with advertising. Further down an older couple is having some siding work done on their home. I suspect that home will soon be put on the market but that is just speculation on my part.

Country Club View has been going through a demographic change of late. The neighborhood, built between between 1968 and 1970 has spacious single family homes and large yards, most with alot of room for expansion and growth. Some back up to wooded areas or that have small undeveloped areas on the lot to give that wooded lot feel. Older residents seem to be moving out and they are being replaced by the next generation of homewoners, mostly families, but also persons of various lifestyles and family status.

Country Club View has an active Civic Association. There is no Homeowners Association. Most of the houses, despite the fact there is not an HOA, are kept up very well, many with manicured lawns and upgrades. There is a neighborhood pool (Sideburn Run) at Zion and Sideburn Road. The pool is adjacent to and within walking distance to many parts of Country Club View. The neighborhood has been and is currently in the Robinson school district. The elementary school is Oakview Elementary and George Mason University is walking distance from much of the neighborhood. All are reasons why Country Club View is a great neighborhood and will likely remain so for years to come.