Market snapshot - The pendulum is in motion

Washington, D.C.

Condos and co-ops

The number of new listings – 620 of them - in July was 20.4 percent higher than one year earlier, and there were 213.2 percent more still seeking buyers at the end of the month. The total still active was 1,594 in comparison with 509 in 2005, but inventory dipped, slightly, from June for the first month-to-month decline since November.

Sales activity was 4.4 percent lower during the month than in June 2005, slipping from 362 to 346. The number of contracts ratified was just a smidge lower than in the preceding three months and above last summer. Still, the market absorbed a paltry 18 percent of the available apartments. Year-to-date volume fell 14.1 percent behind last year.

Not surprisingly, prices have declined from an average of $426,576 last year to $408,551 so far in 2006. The median has gone from $375,000 to $359,900.

Single-family homes

Sellers put 11.6 percent more properties on the market than in the same month last year, reaching 519 versus 465. Although the supply of listings still active at the end of July was 108.7 percent greater than in 2005, the trend line has been essentially flat for three consecutive months.

The volume of sales was down 19 percent in July – from 405 to 328 - and 18.4 percent – from 3,132 to 2,557 - for the year to date. The proportion of available homes with ratified contracts (the absorption rate) was 19 percent. Yet prices continue to rise somewhat, from $628,179 in 2005 to $663,254 on average this year, while the median has inched up from $489,000 to an even $500,000; half the homes sold for more than half a million dollars and half sold for less.

Montgomery County

Condos and co-ops

There was a 4.2 percent decline in the number of apartments put on the market during July, dropping from 480 to 460. Meantime, the supply of those still active at the end of the month is about the same as it was in June after rising steeply between December and March and then more moderately afterward. In contrast to the 347 that lingered on the market in July of 2005, 1,029 were in that status this year, a rise of 196.5 percent.

A 24.6 percent decrease in July sales, from 353 to 266, obviously contributed to inventory growth. The month's activity was lower than it was been in any month since January. Year-to-date volume went down 16.3 percent, from 2,351 to 1,968 apartments that found buyers, and the absorption rate was 21 percent. The average and median prices have pretty much stabilized, creeping up from $306,544 last year to $311,943 on average and a median of $275,000 to $285,000.

Single-family homes

With 1,721 new listings, the total of homes added to the market in July was just 0.6 percent more than at the same time last year. But the inventory of listings still active continues to rise, though moderately, to at least a 12-month peak. The 3,988 homes awaiting buyers was 145.9 percent higher than the 1,622 one year earlier.

Sales activity plunged 26.9 percent below July of last year; there were 909 contracts ratified during the month as opposed to 1,244 in 2005. July's sum was close to June's but significantly below every other month since February. Year-to-date volume totaled 6,558 in 2006 and 8,463 in 2005, and the market absorbed merely 19 percent of the homes for sale. But prices are holding firm. They have gone from $563,491 on average in 2005 to $600,110 this year; the median has moved from $465,000 to $490,000.

Alexandria

Condos and co-ops

Inventory is definitely leveling off after more than a year of steady climbing. Since April's more than 12-month summit, the supply of listings still active at the end of the month has moved perceptibly down, though not in the least dramatically. The number of new listings fell 5.7 percent below July of 2005, from 211 to 199. Active listings mushroomed 214.9 percent higher than at the same time last year, increasing from 201 to 633.

With 106 ratified contracts, sales volume plummeted 26.9 percent, from 145 the previous July. Although volume has been growing marginally for three months, it was smaller than in March and April. Year-to-date sales activity decreased even more – by 30.7 percent, from 1,096 to 760. As for the absorption rate, it was an inconceivably low 14 percent. Prices are showing surprising resilience: The average this year is $358,772 in comparison with $343,872 last year, and the median is $325,000 versus $311,000.

Single-family homes

The number of new listings during July dropped 12.1 percent below the preceding July, with properties still on the market by the end of the month posting negligible growth above May and June. There was a 121.7 percent increase in active listings, rising from 236 in 2005 to 501.

Sales activity sank 28.3 percent, to 86 homes under contract; it was 120 in July 2005. The volume was lower than it has been since February. With regard to sales for the year to date, a decrease from 933 in 2005 to 737 amounted to a 21 percent change. Only 15 percent of available properties found buyers during the month, and price appreciation has all but stopped. The average of $669,740 this year compares with $666,068, and the median of $600,000, with $599,999.