Home Price Watch: Prices Catching Up with Demand in Trinidad

• September 4th 2014

by Lark Turner

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In this week’s Home Price Watch, UrbanTurf goes to Trinidad, where more houses are hitting the market and home prices are catching up with demand. In looking at the neighborhood’s market, UrbanTurf used segmented data from real estate data firm RealEstate Business Intelligence (RBI), which shows a year-over-year snapshot in the legal Trinidad subdivision between January-July 2013 and January-July 2014.

Trinidad is a trapezoid-shaped neighborhood roughly bounded by West Virginia Avenue NE to the west, Mt. Olivet Road to the north, Bladensburg Road NE to the east and Florida Avenue NE to the south. It’s just north of the H Street Corridor and several blocks east of Union Market.

The number of homes sold in Trinidad shot up this year. During the same period in 2013, 69 homes sold; this year, that number’s risen to 97. The increase has driven up the total dollar volume of sold homes by 46.6 percent, from $25.9 million last year to $37.9 million in 2014.

The median sales price in Trinidad has only barely budged this year, inching up 1.35 percent. But list prices have gone up in the neighborhood to better match demand as home values have risen.

Last year, the average list price for homes that sold was $367,439, but, on average, these homes sold for 106.6 percent of the original list price.

This year, average list prices have risen 5.4 percent to $387,056, and the average sold price to original list price ratio has stabilized at about 100 percent. That means sellers have a better idea of what their homes are worth, and are increasing list prices to show it.

Here’s some more interesting data from the RBI report:

• The average number of days that homes are spending on the market has gone up, increasing from 25 to 35. Since the number of sold units has also risen, this may be due to increased inventory. 35 of the 97 homes sold so far this year sold in the first 10 days on the market.
• The idea that Trinidad is a place where investors come in to make a quick buck may be changing. Of the 97 home sales in 2014, 58 were purchased with conventional financing.
• Unsurprisingly, the vast majority of the homes being sold are rowhouses. 96 of 97 homes sold so far this year were attached homes.

This article originally published at http://dc.urbanturf.production.logicbrush.com/articles/blog/home_price_watch_trinidad_where_prices_are_catching_up_with_demand/8932.