Despite the ongoing pandemic, or perhaps in part because of it, housing markets across the country continue to be competitive for potential buyers, and the Washington, D.C. market is one of the most competitive.
Real estate firm Redfin reports 62% of its clients’ offers in the Washington area in July faced competing bids, ranking the D.C. area fourth for buyer competition, behind Salt Lake City, San Francisco and San Diego.
Single-family homes are more likely to draw multiple offers than town homes or condos, Redfin said.
The pandemic is having an impact on sales. A recent Redfin survey found 25% of current house hunters said the pandemic has caused them to plan a move or speed up their moving timeline.
Top reasons cited include wanting dedicated space to work from home and wanting outdoor or recreational space.
“Homebuyer demand is surging despite GDP taking a historic nose-dive in the second quarter, largely because Americans value the home more than ever and are willing to prioritize housing even as they cut back on other expenses,” said Daryl Fairweather, Redfin chief economist.
Bidding wars were most common on homes listed between $400,000 and $500,000 nationwide in July, and least common on homes listed at above $1.5 million.
The three cities with the fewest multiple offers on residential listings are Chicago, Miami and Las Vegas, though between 32% and 40% of listings in those cities still attracted multiple offers in July.
