Spring is always a hot time for houses to hit the market but there will still be limited inventory to choose from. Some new construction will offset this but there won’t be enough to help. New construction gives buyers a chance to negotiate with builders.
The pandemic caused many to move to the suburbs since they were able to work from home. There will be an eye on whether government workers will have to go back into the office a few days a week which will play a factor in the demand of homes closer to the city.
Throughout 2024 mortgage rates will continue to slowly go down, however, they aren’t expected to drop back to 3% where they once were. “Waiting for rates to drop means you lose out on a market with less competition and could end up paying more for the house you want. In addition, you would lose out on the equity you could gain as the market improves.”
Condominiums are taking longer to sell in the current market and are appreciating more slowly than single family homes. Right now there is more condo inventory in DC than normal. Condominiums usually appeal to first time home-buyers but with higher mortgage rates, those typical buyers are seeing that it’s cheaper for them to rent than own.