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recent Bright MLS report suggests that federal layoffs are indeed impacting the local housing market in the DC area. The layoffs, which eliminated around 59,000 jobs earlier this year, have led to a significant number of buyers and sellers entering the market.

    According to a survey of real estate agents, 37% reported working with clients who were buying or selling due to the federal layoffs. Additionally, 15% of spring sales in the DC area were motivated by retirement, compared to 10% in the larger East Coast region. This suggests that many retirees are aging federal workers who accepted buyout offers and sold their homes.

    The data also shows that the layoffs have increased the number of sellers in the market, with 43% of surveyed agents reporting an increase. As a result, prices are falling, with 38% of agents citing this as a consequence. Despite this, home prices hit a record high in May, with a median sold price of $659,950.

    However, the market is shifting towards single-family homes, with affluent buyers seeking larger properties. This has led to a decrease in condo sales and an increase in pending sales for single-family homes in areas like Arlington and Fairfax. The ripple effects of the layoffs are expected to continue, with potential waves of inventory entering the market this summer and further downward pressure on prices.