Forbes Magazine just issued its list of America's Worst-Selling Housing Markets. To compile its list, the magazine editors used sales rate to show "how quickly homes have been leaving the market from its most saturated point, the most straightforward indicator for measuring sedentary vs. active sales."
The Ten Worst-Selling Housing Markets according to the article are:
- MIAMI, FLORIDA
- ORLANDO, FLORIDA
- PHOENIX, ARIZONA
- TAMPA, FLORIDA
- LOS ANGELES, CALIFORNIA
- WASHINGTON, D.C.
- CHICAGO, ILLINOIS
- BALTIMORE, MARYLAND
- SAN DIEGO, CALIFORNIA
- DENVER, COLORADO
So, yes, D.C. made the list. With a reported median house price of $400,100 and over 47,432 unsold homes currently on the market, Forbes reports that the inventory sales rate in the Washington D.C. area is about 2.2%. Compare this with a dismal 0.2% for Miami, Florida!
As justification for the high ranking for the Washington, D.C. area, Forbes mentions the overbuilding of homes in the exurban areas of D.C., particularly in the D.C. -- Baltimore corridor.
Translation: More of the problem is within the District itself and suburban Maryland -- NOT in Northern Virginia.
Since the study does not detail the geographic scope of the Washington D.C. area, it is hardly an accurate picture of the local markets within the Greater Washington area. Forbes does mention that the 1.1% foreclosure rate in the D.C. metro area is less than half that seen in hardhit Tampa, Florida, and Phoenix, Arizona.
FACTS: It could be much worse, and I'm not even sure Forbes' data is that accurate.
For example, compare overall Northern Virginia (Arlington, Alexandria, Falls Church, Fairfax County) with Arlington, and with Baltimore City (supposedly #8 on the list):
| | Volume of Sales (% diff. 3/08 vs. 3/07) | Days on Market (% diff. 3/08 vs. 3/07) |
| Northern Virginia | -36% | +8% |
| Arlington | -32% | -10% |
| Baltimore City | -43% | +38% |
From this table, it is apparent that Baltimore City is much worse off than Northern Virginia!
D.C. area buyers: take advantage of one of "the worst-selling" housing markets.
CLICK HERE TO START YOUR HOME SEARCH
D.C. area sellers (especially in Northern Virginia):
IT COULD BE MUCH, MUCH WORSE!
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Hi Brian. Great stats. I hope all is well with you over there in DC.
Ken