realestate

DC housing market steadies as recession risks rise

DC real estate broker notes market resilience amid shutdown, yet worries about recession risk.

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    The shutdown has entered its fourth week, and a D.C.‑area real‑estate broker says the housing market has held up so far, but he worries about how long that resilience will last. Corey Burr of the Burr Group at TTR Sotheby’s International Realty notes that, before the shutdown began in late September, the region saw a surge in home‑sale activity. In September, D.C. closed sales were 12.4 % higher than a year earlier, and the median price rose 13.3 %. While activity remains elevated, Burr cautions that the trend could reverse if the shutdown drags on.

    Since the shutdown started, several federal‑employee clients have paused their home‑buying plans. “Some who were ready to purchase have put things on hold or are choosing to rent instead,” Burr says. These buyers cite job‑security concerns, saying they lack confidence that their positions will remain stable. Additionally, federal loan programs are being delayed because there are not enough staff at the federal level to process them.

    Looking ahead, higher‑end properties were performing better before the shutdown, though some neighborhoods still struggle. Montgomery County, for instance, has seen price increases. Across the region, the number of listings and the average days on market have reached five‑year highs, while the ratio of sold price to original listing price is the lowest in five years. Burr warns that if lawmakers fail to reach an agreement, the market could face tougher conditions not seen since the 2008 recession. “The longer this goes on, the more we risk a regional downturn that mirrors national economic shifts,” he says.

    For buyers who remain confident in their employment, the current uncertainty can be an advantage. Falling prices and increased inventory create opportunities to find a home that fits their needs. “Now is the time to act if you’re sure about your job and have found a house you love,” Burr advises.

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    Mike Murillo is a reporter and anchor at WTOP. Before joining WTOP in 2013, he worked in radio in Orlando, New York City, and Philadelphia.

Washington DC housing market steadies amid rising recession risks.