DC housing market down 11%, group says
Are DC home prices dropping?
As the District deals with uncertainty over federal jobs and return to office mandates, how is the housing market affected?
WASHINGTON - Are D.C. home prices dropping? Some data indicates home prices have declined nearly 11 percent in the last 12 months.
By the numbers:
Parcl Labs, a real-time housing analytics group says the D.C. city housing market has declined nearly 11 percent year-to-date. That means the price per square foot is reportedly pushed to values not seen since five years ago, before the pandemic .
Over the same five-year period, prices rose around 38 percent across the broader D.C. Metro area and increased 43.5% nationally.
Big picture view:
Return-to-office mandates for federal workers have led to an increase in home buyers, but "uncertainty" about federal job cuts has discouraged others from buying or selling their homes, according to a report by Redfin.
The Department of Government Efficiency (DOGE), which is tasked with eliminating wasteful government spending and increasing efficiency, aims to cut $2 trillion from the federal government budget by eliminating programs and trimming the federal workforce.
Parcl Labs reports the data indicates D.C.’s downturn "started well before any recent federal workforce reductions." The group says the primary driver is D.C.’s high exposure to condos, which represent half of the total housing inventory.
The Source: This story includes information from a report by Parcl Labs, as well as reporting from FOX Business and previous reporting from FOX 5 DC.