People are moving back to the Washington DC Metro Area in a Post-COVID Pandemic World!
How do I know that the city is coming back to life? The traffic is back, the grocery stores are full, and you can’t easily dine like you could a few months ago. Although the Federal Government still has its employees working from home, the Downtown DC Streets are busy, and the housing inventory is little.
One of the biggest indicators of people moving back to DC is the rental market occupancy. A month ago, the rental market had a 70% occupancy rate, today rentals are at 95%+ capacity. If you are looking for a good two bedroom, two bath residence in Washington, DC; good luck. Here is one staggering example of the change that puts things in perspective. When looking for a rental that was available two months ago, it was listed for $4000 a month. Today, the same floorplan is listed for a massive price adjustment to $6,000 a month.
There has been some housing inventory that has been sitting on the market for some time and is going under contract. New homes priced well and updated are going off the market as quickly as they are going on.
There may be some shift in the increase demand due to more people afraid to live in group environments and deciding to live independently, changes in university housing and perhaps the threat of rising interest rates has moved people off the bench to purchase. More people are vaccinated than before and jobs are demanding that employees return to the office with safe protocols and vaccine guidelines in place.
There are probably several reasons people are moving back to urban areas like Washington, DC. I can tell you it is refreshing to begin to see things going back to normal. Our DC Region looks like it will continue to have a strong and stable housing market be it in rentals or ownership.