Are you considering purchasing a new home? Fancy a quaint, historical city that merges small-town charm with modern city life? Look no further than Alexandria, VA. Situated on the Potomac River, just a stone’s throw away from the nation’s capital, Alexandria is a lucrative option for home buyers. As of 2021, the city has experienced a strong seller’s market, with the median sales price hitting $590,000 – a 5% increase from the previous year, according to the Bright MLS.
Alexandria VA at a Glance
Alexandria is a city brimming with history and culture. Its picturesque streets lined with well-preserved 18th and 19th-century architecture draw in both tourists and potential residents each year. This vibrant town offers plenty of recreational activities, parks, top-tier restaurants, unique boutiques, and inviting social events.
But what about the real estate market? As a potential home buyer, let’s delve into what Alexandria, VA has to offer.
Real Estate Market Trends in Alexandria VA
Housing Prices
Let’s start with home prices. As previously mentioned, the median sales price is around $590,000. However, property pricing varies dramatically, aligning with the wide variety of property types Alexandria has to offer, including condos, townhomes, and single-family homes.
Prospective Growth
Home value appreciation in Alexandria, VA has seen steady growth in recent years. During the last decade, the city has witnessed an appreciation rate of nearly 68%, beating the national average. Zillow predicts that home values will rise by another 5.4% in the coming year. Thus, buying a property in Alexandria not only gets you a beautiful dwelling to live in, but also an investment that is likely to increase over time.
Housing Supply and Demand
Despite the COVID-19 disruption, the real estate market in Alexandria has remained strong, with supply unable to keep up with demand. The number of homes for sale in the area can’t meet buyers’ appetites, leading to an increase in home prices.
Mortgage Rates
As per mortgage giant Freddie Mac, mortgage rates in Alexandria (and across the country) are near historic lows, driven by the global economic turmoil. Low mortgage rates make it easier for home buyers to afford homes, contributing to the robust demand in the market.
Decoding Alexandria’s Neighborhoods
Before buying a property in Alexandria, it’s essential to familiarize yourself with key neighborhoods. Each has its unique flair and price range.
Old Town, the historic heart of Alexandria, is brimming with 18th -19th-century townhouses. The median home price in Old Town hovers around 1 million dollars. Waterfront views, historic charm, and an array of amenities make this neighborhood highly sought after.
West End is another notable neighborhood. Encapsulating multiple smaller communities, West End is more affordable compared to Old town, with single-family homes predominantly, and with prices averaging in the mid $500,000s.
Del Ray, known for its artistic vibe, is where you’ll find a unique blend of single-family homes, row houses, and even some apartments. The median home price in Del Ray is in the upper $700,000’s.
Closing Thoughts
Alexandria, VA presents a robust, healthy real estate market and is a viable option for potential home buyers. From the historical ambiance of Old Town to the modern vibe in West End, each Alexandria neighborhood offers something unique. With interest rates at a near-historic low, now might be the perfect opportunity to take the plunge and invest in Alexandria real estate.
Remember, buying a home is a significant financial decision – it’s important to do your research and seek professional advice. Take time to tour the different neighborhoods, get to know the community, the lifestyle, and always keep an eye on market trends.
With this comprehensive overview of the real estate landscape in Alexandria, VA, you’re now better equipped to make an informed decision. Good luck with your home buying journey!
