Real Estate Market Update - November 2008

Can't believe November is already here, and real estate continues to be newsworthy. Here's the roundup:

The election is upon us (finally!) and with it, an influx of a new administration and all its staff. What does this mean for our local housing market? Check out my blog post here.

Do you know someone relocating to or from our area as a result of the election? Please forward them my contact info and this email so they can check out my brief relocation guide. I'd love to help them with their real estate needs!

Investors are starting to emerge. Even Prince William County saw a home buying "spree." And it's no wonder -- take a look at the falling median home prices on these charts for Prince William and other counties in VA, MD and DC.

I was interviewed by the Washington Post/Express for their Fall Homebuyer's Guide, and noted that, though prices are attractive, obtaining financing as an investor may be more difficult than you think. Here's another great blog post on obtaining financing for investment properties. I'm currently working with several investors, so if you're thinking about purchasing an investment property, contact me to discuss the market.

Changes in FHA loan programs continue to evolve: As of January 1, 2009, borrowers will need 3.5% down (versus the current 3%), and the upper limit in our area will be $625,000 (down from the current $729,750.) Nonetheless, due to the tight credit markets, FHA remains the most viable option for many borrowers.

Worried about the economy? Here's a bit of good news: DC and Arlington were namin our ared two of the top ten places to live during a recession. And another piece of good news for our local area: the bailout will be a boon to our local economy. Another boon from the bailout: the $5000 tax credit for DC first time home buyers was included in the bill! Not buying in DC? You can still take advantage of the $7500 first time buyer "credit" (really an interest free loan) until July 9, 2009.