Baltimore’s average square-foot price of $149 compares with DC’s $207
Back in June, DC dropped from fifth to sixth place as being the most expensive real estate market. Still, the area continues its trend of being less and less affordable, noted a Huff Post overview. Then, the median sales price topped $331,600, which was 6.3 percent higher than a year prior.
Zillow pegged the average home value index (price in a locale on a given day), back in August, at $463,700, while predicting a further rise of 1.7% within the year.
That puts the Washington Metro’s average square footage price at $207.
Still, the DC Metro area housing trend fell to ‘flat’ in September, which indicates less buyer interest with seller activity on the upward rise.
If you’re a real estate investor with property in the DC area, the median rent was around $2,250 to $1,950 in the Metro areas.
What’s Next After DC?
Options for lower prices do exist, of course, the further you look outside the DC area. For example, in Baltimore, the average square foot price was $149, while the median sales price between July 14 and October 14, 2014 was tracking at $194,900. This may mean if rents or sale prices continue to increase, DC renters will look to place their bets on Baltimore home buying.
Many things are at a tripping point here in the District: rent prices, first-time homebuyer options, the long-term trajectory of District public schools, flexible work schedules, and neighborhood revitalization. In order to attain the urban lifestyle, but not become “house poor”, Gen X and Y, as always, will get creative. This may mean uprooting to Baltimore to buy their first home, and take advantage of equity gains–rather than rent in DC, only hoping to be able to afford a brownstone in one of the most hip neighborhoods.
In Montgomery County, MD, according to RedFin, the median sale price was $376,188 as of the end of September. This is 5% lower than it was in August, but still shows an increase of 4% compared to the previous year.
What’s Next After DC? Learn more about the real estate options outside of the DC area here.