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Bethesda-Chevy Chase Market Report – Summary 2017

Avi Galanti 0 comments 01.10.2018

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Happy New Year! Last week I had a very interesting conversation with a prospective buyer. The client owns a house in Chevy Chase and does not have to sell before buying a new house. Her goal is to move a little closer in - Edgemoor, if possible - or just on the outskirts of Edgemoor, jokingly referred to by some as "Edgeless." Towards the end of our conversation, she said something that stuck with me… “Too many Realtors, too few houses.” I thought that was brilliant! In one short sentence, this savvy local buyer summarized what we all experienced in 2017 - a year of shrinking inventory. This trend is feeding on itself. With fewer choices, more would-be-sellers stay in place, avoiding putting their homes up for sale until the “One Perfect House” becomes available. Other would-be-sellers who must sell their existing home before buying the next are paralyzed by fear of not finding the right home to buy, which causes them to take the “hold and wait” approach.

But wait, there’s more! Those who look to downsize find themselves in a bind where the equity and overall market value in their existing home is simply not enough to “downsize” to a reasonably priced condo with ample living space and affordable monthly condo fees. For this would-be-seller, moving is not an option, so they make adjustments to age in place and delay moving out of their home for a few more years, maybe even a decade or two. (Notice how I didn’t address the second part of the buyer’s statement “too many Realtors”… yeah, I’m not going there!)

This brings me to “The Tax Cuts and Jobs Act” of 2017 that was signed into law before Christmas and the impact this may have on the real estate market in Maryland and Washington DC. The new law limits the state income tax and real estate property tax deductions to $10,000 annually per household. Some critics of the new law charge that this may have real consequences, as buyers weigh the total financial impact of “moving up” to a larger, more expensive home. I personally believe that for the majority of buyers in our specific market, this particular aspect of the new tax law will not have a significant impact on buyers’ motivation to buy given the totality of the strength of the local economy led by steady high paying jobs.

Last factor to keep an eye on in 2018 is interest rates. By all accounts, interest rates will go up in 2018, some predict by a point. If done gradually (1/4 point per quarter), we may see a spike in buyers‘ activity periodically. But overall, with rising interest rates and as buyers have less “buying power,” sellers may see a squeeze on home prices and a downward pricing pressure.


BUT... it’s 2018 - a new year, a new beginning - and along the very long list of things we’re hoping for, we’re also wishing for a shift in the trend described above. The real estate market is a critical economic engine for any jurisdiction. It’s a job creator and a major government revenue source. When the housing sector suffers, other sectors of the economy feel the pain and local government budgets are affected.

Let’s get to some numbers and see how we did in 2017 compared to previous years. Every quarter when I sit down to write the report, I try to come up with new details, interesting stats that may be very telling but overlooked. This time I examined the Expired and Withdrawn listings from the market and what I found was very surprising, even to me. The number of Expired and Withdrawn listings in Bethesda and Chevy Chase has almost doubled in the last 5 years! In 2013, it was 508, while in 2017, it jumped to 906. At face value, this number represents sellers that entered the market with high hopes, only to pull the plug following disappointing results. Some came back with another price at a later time and have indeed sold; some took a longer break. This significant increase is very telling of sellers’ expectations versus reality and how the two may not mesh.


Let’s take a further look at the past five years as a whole before diving into the various zip codes. 

All of Bethesda and Chevy Chase: (all types of properties, all price ranges)

In 2017 there were 1,679 contracts with an average of 64 Days on Market. In 2016, fewer properties sold with a slightly lower DOM. The graph below illustrates the changes over the last 5 years.


We will now look at specific zip codes, but before we do that, I have to again state that real estate is very local. The stats I bring you here cover large areas, often including locations (specific sub-markets) that, if looked at specifically, would show different behavior patterns. With that in mind, lets get going.

Detached homes in 20814: 

In 2017 there were 187 transactions (ratified contracts and sales), compared with 203 in 2016, nearly an 8% drop in transaction volume. Days on Market (DOM) increased by 35% to 73 days on average, while the Original List Price to Sold Price Ratio (LP/S%) improved slightly from 94.9% in 2016 to 96.3% in 2017.


Detached homes in 20815:

Here, as well, there were less transactions in 2017, dropping to 242 contracts from 261 in 2016. That’s a 7.3% decrease. DOM went up slightly from 57 days on average in 2016 to 63 days in 2017. On the flip side, the average Sold Price was $1,312,800, an increase of 5.7% from that of 2016. Original List Price to Sold Price Ratio (LP/S%) stayed virtually the same at 95.7%.


Detached homes in zip 20817: 

A reverse of the trends in the other zips, whereby 455 homes went under contract in 2017, a 5% increase from 2016. Also, Days on Market decreased from 75 days on average in 2016, to 67 in 2017. The Original List Price to Sold Price Ratio (LP/S%) improved by 1.2% and averaged 95.7% in 2017.


As far as the condo market goes, the variety of locations, price ranges, branding, and amenities compelled me to focus on a more defined area and price range.

Condos in 20814:

For condos and townhomes priced $750,000 and above, 2017 was a bit of a challenging year with a total of 37 contracts compared with 70 in 2016, a dramatic 33% drop! Moreover, the average DOM almost tripled to 61 days compared with 21 days on average in 2016, a 190% increase.


New homes in Bethesda-Chevy Chase: 

This segment continues to grow despite some of the difficulties described by homebuilders - rising competition, rising acquisitions costs, increasing regulatory restrictions and taxation, and of course, increased buyer scrutiny. In 2017 there were 110 sales of newly constructed homes (2016 and 2017 construction). This number does not include custom homes. That’s an increase of nearly 15% from 2016 sales. Of the 110 homes, 27 were listed above $2.0MM compared with only 19 in 2016, a 42% increase of inventory in this price category. Average Days on Market decreased slightly from 154 to 147 days. The Original List Price to Sold Price Ratio (LP/S%) has stayed the same at 96%. By the way, we’re proud to say that the highest priced new home to sell in 2017 was our own listing at 9 Darby Ct, listed for $3,850,000 and sold for $3,795,000.


Before we sign off, I am often asked, “When is the best time to sell?” While there’s no definite answer to this question, as it all depends on circumstances from the stock market to the weather, competition, interest rates, what a certain President may or may not do, etc., there are trends that can be tracked and offer a general guideline. According to the 2017 data, the months with the most transactions were March, May, April, October and June, in that order.


I want to thank you for reading and also wish you all the best for 2018! As always, if you have any real estate needs, please do not hesitate to reach out. It will be my pleasure to offer my guidance and services and tailor a plan that fits you, your home, and your goals.

All the best,



Quarterly Report – Q3 2017

Avi Galanti 0 comments 10.12.2017

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Dear Friends and Neighbors,

Wow, Holiday Season 2017 is already here. Happy Holidays!! (or is it too soon for some of you?!) I always wondered when is it proper to start greeting people with “Happy Holidays”... But oh yes, we’re here to discuss real estate, so no matter where you fall on this most important quagmire, here are some of my thoughts about the real estate market in our area, served with interesting stats:

The DC area market is in its 16th straight month of declining inventory, which is good for sellers. August 2017 numbers showed inventory was down 4.4% compared to August 2016, and down 4.1% compared to July 2017. The median home price in the region in August rose to a decade record, as sales volume in July set a near all-time record. However, as inventory of homes continues to steadily decline month after month, the question on everyone’s mind is whether the trend will continue, pushing prices up, making home ownership less affordable even as interest rates remain low, hovering around 3.7%.

I do not anticipate a change in the coming months. Inventory will most likely remain low through the winter. Depending on the economic and political forecast in 2018, we may be seeing a change in the spring. One of the biggest issues at hand is lack of affordable homes for the downsizing population. Baby boomers who wish to remain in their town/city, find that downsizing does not apply to housing costs. Often times a reasonably sized condo will cost significantly more than the house being sold, and at best it’ll be a lateral move financially. This reality makes many would-be sellers delay the move or make adjustments for aging in place.

I’m leaving you with these questions for context as we zero in on the Bethesda-Chevy Chase market. The third quarter of 2017 was solid, in some aspects outperforming previous 3rd quarters. Overall, sellers who usually shy away from listing their homes during the summer months but who chose to list anyway, experienced positive results.

Single-Family Homes
In the Single-Family Home (SFH) category, there were 226 contracts signed during Q3 ’17, with an average of 58 Days on Market (DOM), representing 19.5% faster turnover than Q3 ’16. The Sold to List Price Ratio improved slightly, averaging a 95.1% yield on the asking price (up 0.5% from 2016).


Townhomes and Condos
In the Townhome and Condo category (combined, all prices, all zips in Bethesda-Chevy Chase), there were 133 contracts signed, average price was $539,000, up 8.3% from same period in 2016, mostly due to new ultra-luxury inventory sales in downtown Bethesda. Interestingly, when we looked at the least and most expensive sales in the category, they were $130K and $2.35MM in Q3 ‘16 compared with $140K and $3.95MM in Q3 ‘17, respectively. The average DOM rose to 60 from 53 the previous year, mostly due to the injection of high-end, high-cost condos to the market.


From time to time I like taking a look at the market from different angles. Analyzing by zip code is helpful, but also carving the market by price category can be very telling, as you’ll see in the numbers below. Let’s take a few minutes to look at the current inventory and YTD sales of homes by price category in Bethesda-Chevy Chase.

Under $1,000,000
As I write this piece, there 91 SF homes actively on the market in BCC, priced under $1MM. Since January 1, 2017, 412 SFH priced under $1MM were sold (or currently under contract). Averaging nearly 46 per month. This means that at this moment, the market is carrying a 2 month inventory. The average Days On Market (DOM) in the category is 27, which is less than half the Avg DOM for all price ranges. Sold to List Price Ratio in the category is 98.6%, outperforming the average for all price ranges by 3.5%!


$1,000,000 to $1,500,000
Next is the $1.0MM to $1.5MM. In this price category, there are 88 active homes for sale, out of which 10 are new spec homes, more than 11%! 262 homes have sold since the beginning of the year, 23 of them were spec homes (about 9%). At this rate, 29 homes sell every month, giving us over 3 months of inventory. The average DOM is 66, 14% higher than average for all price ranges. Sold to List Price Ratio is 96.2% - 1.1% better than the average for all price ranges.


$1,500,000 to $2,000,000
Moving up to $1.5MM to $2.0MM price category, there are 83 available homes, 25 of them are newly built spec homes, representing over 30% of the inventory! Year to date, 121 homes have sold, 42 of them were newly built homes (nearly 38%). The rate at which homes in this category sell suggest that we currently have a little over 6 months inventory. The average DOM is 100, nearly 50% higher than the average all-price category DOM. And lastly, the Sold to List Ratio is lower, as can be expected, at 94.6%.


$2,000,000 and Above
This brings us to the last category, homes priced over $2.0MM. There are 64 currently active homes, 18 of them are new construction spec homes (28%). YTD, 62 homes have sold in the category, 21 were new (approx 33%). These homes sell at an average rate of almost 7 per month, suggesting an existing inventory that will last over 9 months (if no additional homes were introduced). Average DOM is 113 – again, nearly 50% higher than average for all price ranges. Sold to List Price Ratio is 93.8%.


If you’re a seller, taking a few minutes to study your competition is a critical first step. Ask yourself what do buyers also look at when they’re searching and how does your home stack up to the competition? Staying objective is critical. What things can you do to improve your chances? How do you overcome potential objections? All are questions to be discussed with your Realtor and based on a comprehensive analysis, we can devise a plan that will yield the best results.

Not all homes are made the same; there is no one plan that fits all! If you’re thinking about selling, call me today for a free, no-obligation consultation. It will be my pleasure to offer my guidance and services and tailor a plan that fits you, your home, and your goals.

Happy Holidays!


Quarterly Report – Q2 2017

Avi Galanti 0 comments 07.20.2017



Dear Friends and Neighbors,

It’s the end of July, and I am admittedly a bit late in writing the 2nd Quarter Report. My apologies to all who have been eagerly and patiently waiting to reading it!  My excuse - a wonderful family trip to Fiji and Australia! I hope you are taking advantage of the summer months to spend some quality time with your family and loved ones, as well.

Down to business! As someone who’s been tracking numbers in our market for years, I’ve noticed that typically 50% of all real estate transactions (contracts written) occur between March 1st and June 30th  of any given year. If this rule of thumb is relevant to 2017, we are going to end the year with a slightly lower number of transactions, perhaps 10-15% lower, than 2016. While nationwide new home sales are up as the overall economy continues to strengthen, in Bethesda-Chevy Chase and Potomac, we’re seeing less re-sale transactions, which can be attributed mostly to low inventory levels. The good news to sellers, home prices are trending up.


In Bethesda, there were 262 transactional contracts on detached homes during the 2nd quarter. In comparison, there were 296 contracts during the same period in 2016, that’s an 11.5% drop. During the first quarter of 2017, there were 231 contracts, nearly half of those occurred in March! Spring typically comes early and the rush of the Spring market begins.

The median sold price of detached homes in Bethesda in Q2 2017 was $1,000,000. That’s a 2.6% increase from the same period in the previous year. Median Days on Market (DOM) was 12 days, same as in 2016, but a big drop compared with the median DOM during Q1 2017, which stood at 32 days.




Chevy Chase is a smaller market, but a very healthy one. Overall in Q2 2017, there were 76 new contracts, up nearly 36% from Q1 2017. However, similarly to Bethesda, this is a drop of 13.6% compared with the number of contracts written in Q2 2016. This didn’t stop the median detached home sale price to increase by 10.6% to $1,250,000 compared with the median sold price in Q2 2016. That’s a big jump, but I will caution you not to conclude that overall real estate values in Chevy Chase increased 10% year to year, as that is not necessarily the case. We need to wait and compare various annual data to make any conclusions. As far as DOM in Chevy Chase, Q2 was basically “anxiety free” for all sellers, with a median of only 7 Days on Market. Wow!



In Potomac, once again a 14% decrease in the number of contracts written in Q2 2017 versus same period in 2016. Only 154 contracts for detached homes compared to 179 in 2016. The silver lining is that market activity during the 2nd quarter in Potomac picked up compared with the 1st quarter. Indeed we saw a 40% increase in number of contracts, from 110 to 154.  Median DOM was 16, and median sold price was $1,012,000, which represents an 8.9% increase from 2nd quarter data in 2016.



The new custom and spec home market in Bethesda-Chevy Chase continues to thrive. While some among us have the impression that there are many new homes “sitting on the market” that is already saturated, the numbers tell a different story. So far in 2017, there are 45 spec homes (not including custom homes) in Bethesda alone, either under contract or already sold. Additionally, there are 35 spec homes currently active on the market and I’m sure a few more will hit the market before years’ end. The average DOM (list date to contract date) is less than 60 days! The average Sold Price YTD is $1,800,000. In comparison, in all of 2016, 91 new spec homes were sold (in Bethesda alone), the average DOM was 74, and the average Sold Price was $1,667,000. It’s noteworthy that the new spec home market in Chevy Chase is doing as well as in Bethesda, while in Potomac, it’s almost non-existent (1 sold in 2017 to-date).

Looking ahead for the remainder of 2017, I’m hoping for steadiness! No sudden movements, anyone…   while there’s the looming threat of larger forces in our environment creating a “black swan-like” event, I am hopeful that we are stronger economically and that we will continue to thrive in our micro market and withstand uncertainties.

On that optimistic note, I want to thank you for reading and also thank you for your continued support! Galanti Group is growing and, as always, if you have any real estate needs, please do not hesitate to reach out. We are here to assist and provide exceptional service to you!

All the best,


Quarterly Report – Q1 2017

Avi Galanti 0 comments 04.17.2017


Spring is in the air and I LOVE IT! I find that spring brings inspiration; it also brings out the best in people… and, oh yes, sellers and buyers of real estate come out in droves! The frenzy is in full swing and I can’t find a better example than a recent transaction I was semi involved in, where 85 competing offers were presented for one house! Clearly, significantly underpriced, but still…

So what have we had in the first three months of the year? Surprisingly, activity increased across the board. In Bethesda (all zips, all types), 522 properties came on the market, a 19.2% increase in number of new listings published compared with Q1 2016. Of the 522, 359 were Single Family Homes (SFH), representing a 14% increase. In Chevy Chase, MD, there were 178 new listings in this period - a 15.6% increase - of which 91 were SFHs, a modest 1.1% increase over same period in 2016.


This increased inventory was good for the market. My colleagues and I had been complaining for years that inventory levels were very low, so it’s encouraging to see more homes come on the market. Here’s what it means for sellers:

In zip code 20817, 157 properties went under contract during Q1 2017, a whopping 29.8% increase over the same period in 2016. Of these contracts, 130 were for SFHs, a 32.6% increase. Days on Market (DOM) average for all types was 30, 55% lower than Q1 2016. SFH average DOM was 46, still a 36% decrease. Lastly, the median home sold price in 20817 was $931,000 (SFH only).


Zip 20814 was active as well, with additional good news for homeowners. 114 properties went under contract, a 39% increase over Q1 2016. 54 were SFHs, a modest increase of nearly 4%. Average DOM for the zip (all property types) was 68, and 58 days for SFH only that represents an increase of 132%, which sounds terrible, but consider this: the median home sold price in the zip was $1,236,000, which represents a 25% increase over Q1 2016. I wouldn’t put too much emphasis on the increase of DOM or the Median Sold Price, as these can fluctuate wildly depending on the type of homes offered for sale. As we know, the range of prices in 20814 stretch from $500K to close to $10MM.


Moving on to zip 2015. Chevy Chase had a 10.9% increase in contracts written during the first quarter of 2017. Of the 112 contracts, 56 were for SFH which actually was a decrease of 3.5% compared with Q1 2016. DOM average for homes was up at 70, a 52% increase, while the median SFH sold price was virtually unchanged at $1,162,500.


The condo market in downtown Bethesda has expanded quite dramatically over the last 24 months. Toll Brother’s Hampden Row (55 units) is now finished, and sales are underway at the newer projects, Cheval and Stonehall. Please feel free to reach out to me if you have any questions about the condo market in Bethesda, Friendship Heights, or NW DC. With dozens of condo sales under our belts, we have an unparalleled insight into every condo building in Bethesda.

I am truly excited about the spring market and beyond. Barring any unforeseen surprises, 2017 has every potential to be strong and positive for sellers and buyers. If you are thinking about selling, buying, or have real estate related questions in general, please get in touch. I will be delighted to be of help.

Best wishes for a happy and peaceful spring!


Source: Statistical data was gathered and analyzed using the MRIS and includes sales information collected up to March 31, 2017.


End of Year Report 2016

Avi Galanti 0 comments 01.11.2017


Happy New Year! Don’t you just love this time of year?! I don’t - it’s too cold! So, 2016 is behind us (phew) and now that we’ve celebrated the holidays and welcomed 2017, it’s time to look back, summarize and analyze the year... but just in real estate! I wouldn’t think to take on everything else that happened in the last 12 months (though I’m tempted). But before we jump in, allow me a second to recognize that it’s been a little over a year since we launched Galanti Group. Thank you for your ongoing support, I am very grateful. I’m happy to say that it’s been a fantastic year and we are growing and expanding, as we welcomed three new agents to the team - Peggy Bresler, Illia Schwarz, and Diego Sito.

Now on to business. If you’ve been reading my quarterly reports, you know by now that 2016 has been mostly the year of no thrills (again, just in real estate). There were no big surprises, no big dips or surges, as buyer and seller activity, as well as home prices, were for the most part stable. In general, properties in Bethesda, Chevy Chase, Potomac, and Upper NW kept their value with pockets of modest appreciation.

I’d like to start with new construction homes as an indicator of the overall health of the market and the confidence new homes builders have in our market. In 2016, 100 new homes were sold in all of Bethesda-Chevy Chase (90 in Bethesda, 10 in Chevy Chase). This represents a healthy 16.3% increase in the number of new homes sold compared with 2015. It’s worth noting that, in actuality, the number was higher by an estimated 8-12%, but those extra sales were never reported in the MLS (private sales).

37 homes were listed between $1,200,000 and $1,500,000. On average, the Sold to Original List Price Ratio (SLR) was 97.36%, and the average Days on Market (DOM) was 131. 44 of the homes (44%) were listed between $1.5M and $2.0M with an average of 168 DOM and average of 96.05% SLR. The remaining 19 homes were listed over $2.0M and had an average of 175 DOM and 92.6% SLR.

Here’s an interesting fact: in 2010, as the market was starting to recover from the great recession, the number of new detached homes sold in zips 20814, 20815, and 20817 was 42! That’s a 138% jump in 6 years!

My expectation is that this segment of the market will slow down in 2017 as builders are getting more conservative and less speculative. The 2016 increased activity is really a reflection of the confidence builders had in the market in 2015 (since it takes about 1 year from the time a builder purchases a lot to when the new house enters the market).

Zip Code 20815, Chevy Chase, Detached Homes:

2016 was virtually the same as 2015, with the exception of average home price. The number of homes sold was 261, same as in 2015. The average DOM fell to 58, down from 61. The Sold to Original List Price Ratio (SLR) was 95.8%, whereas in 2015 it was 95.65%. The average home price (sold) was $1.268M which is 5.3% less than 2015. The lowest detached home list price in Chevy Chase was $450,000. The highest priced home was listed for $4.3M.


Zip Code 20817, Bethesda, Detached Homes:

20817 was not as active in 2016 with 431 units sold, compared with 462 homes sold in 2015, a 7.2% decline in overall activity. The average DOM climbed to 76 days, which is a 13.4% increase. The average home price was $1.185M slightly higher than 2015’s $1.162M, and lastly, the SLR went down half a percent to 95.07%. Lowest priced home was $515,000 and the highest priced home was $5M.


Zip code 20814, Bethesda, Detached Homes:

Here, too, the data shows similarities to 2015 market data. The number of homes sold in 2016 was 207 compared with 205 in 2015. The average DOM was 56, compared with 55 in the previous year. The big difference was the average Sold to List Price (SLR). In 2016 the ratio stood at 94.46% which is lower by 2 percentage points compared with 2015’s 96.43%.

The lowest price of a detached property in 20814 was $560,000 while the highest was $7.995M. That property, 7118 Glenbrook Rd, was the highest property to be listed in 2016 in all of B-CC. It was sold for $6.5M, that’s 81.25% of list price.


Zip 20854, Potomac, Detached Homes:

Potomac saw increased activity with 462 homes sold during the year, representing a 4.5% increase. The average DOM climbed modestly to 83 days, compared with 79 days in 2015. The average list price stayed virtually unchanged at $1.127M. Where the Potomac market is significantly different than the B-CC market, is that the average Sold to Original List Price Ratio is at 92.6%. This means that, on average, a seller asking for $1M would, on average, sell the property for $926,000.

To illustrate this point, the highest priced property in Potomac in 2016 was 13331 Signal Tree Ln. originally offered at $8,750,000, sold for $5,450,000 – a 62.3% SLR.


Bethesda Condo Market:

The number of condo units sold in 2016 (excluding town homes), was 236, 19% higher than that of 2015! The average DOM also climbed, from 48 days to 64 days, a 33% increase. Similarly, the average unit price increased by 12.8% to $536,500. All of these changes can be attributed to the new ultra-luxury condo buildings in Bethesda.

In 2015, about 30% of all condo inventory was sold at or above $1,000,000, wherein 2016, the number of condos priced and sold over $1M jumped by 53% to 26 units. We can expect this trend to continue with the condo offerings in buildings such as Hampden Row, The Lauren, Cheval, and Stonehall.


Looking ahead, 2017 has all the potential to be a great year in real estate. The DC Metro area continues to boast low unemployment, steady growth, positive migration of talent, and of course high-incomes. With the new Administration and new Congress prioritizing overhaul of the tax code and focus on domestic economic growth, a promise of increased consumer confidence and subsequent spending is looming. And, while interest rates are rising, the increases are modest, with rates still considered low and attractive. In a sense, the rate hikes might actually get buyers who’ve been on the fence to finally make a decision to buy.

Thank you for reading and thank you for your continued support! We wish you and your loved ones a happy, healthy, and prosperous 2017! If you have any real estate needs, please do not hesitate to reach out - we are here to assist and provide exceptional and reliable guidance.

Best, Avi

Quarterly Report – Q3 2016

Avi Galanti 0 comments 10.27.2016

View as a PDF here: Q3Report2016


Ahhhh… Fall is here! The Fall Season is solidly in my top 4 favorite seasons! I love the crisp air, digging in my closet for light sweaters, and decorating for Halloween with my kids! As I write these lines, I am wrapping up a 4 day road trip through gorgeous New England!

Looking back at the last 3 months in the real estate market, it has been stagnant for the most part, with increased activity in September after a fairly quiet summer. Before we dive into the actual numbers, there's a point worth noting: 3rd quarter stats can be misleading... July's activity is typically a spillover of the Spring Market; during August many folks are getting sunburnt at the beaches; and the market gets a jumpstart in September after kids get settled in school. We should not jump to any conclusions as to the overall health of the market solely based on these stats.

Another important point to keep in mind is that every market is different! I’m not only talking about Cleveland, OH versus Washington DC, I am referring to different neighborhoods in Bethesda, Chevy Chase, Upper NW, Potomac, and so forth. In fact, every subdivision, every street, and every house is unique and should be looked at specifically when analyzing for fair market value and evaluating potential market interest.

OK, let’s get to the numbers. To keep things interesting, I will focus on different aspects of the market activity, all important and great indicators of the state of the real estate market.

Single Family Homes (SFH) in 20817:
The number of new listings added in 20817 during Q3 2016 was 132 which is a whopping 43.3% drop compared with new listings added during Q2 of 2016. Not a huge surprise, however, it is also a 33.7% drop compared to new listings in Q3 2015! Also, during Q3 2016, 105 SFH went under contract, compared with 173 in Q2 2016, a 39.3% drop. When compared with Q3 2015, again, we see a 12.5% decrease.

The average Days on Market (DOM) for SFH in 20817 stood at 33 days, it represents a 22.2% increase compared with the average DOM during the same period in 2015.

Single Family Homes in 20815:
In Chevy Chase, MD, DOM dropped to 14 days in Q3 2016, a 56% drop compared with same period in 2015 - a sign of a strong seller market! Number of new listings entering the market was 87 homes, an 8.8% increase from 2015, and a 37.8% drop from the previous quarter. The number of homes which went under contract during Q3 was 67, compared with 95 during the previous quarter, and a 29% increase from Q3 in 2015. All great indicators for zip 20815 which continues to outperform neighboring MD zips.

Single Family Homes in 20814:
Bethesda zipcode 20814 also did well compared with 20817. A total of 89 new listings entered the market in Q3 2016, a 20% increase from Q3 a year ago, and a mere 5% drop from the previous quarter. In terms of sales, 53 homes went under contract, representing a nearly 4% increase compared to the same period in 2015, and a 15.8% drop compared to Q2 2016. Not bad! DOM however, increased to an average of 32 days, compared with only 14 during the previous quarter.



Similarly, the condo market in Bethesda slowed with 85 new contracts during Q3 which is nearly 15% less that we had during the same period in 2015, and a 22.7% less than Q2 2016.

What’s interesting though is the number of new listings of condos. The third quarter brought us 148 newly listed condos (in all of Bethesda), a 61% increase compared with 2015! That’s on top of 153 newly listed condos for sale during the second quarter. For those of us who have been following new construction in Bethesda, it’s not surprising. Bethesda-Chevy Chase condos and town-homes range wildly between $250 per SF to $1,500 per SF. There are multiple market trends, and sometimes conflicting trends, depending on the segment, and geographical area, of the condo market.

One last thought. We are nearing the end of a very long (exhausting, at times excruciating, comical, and historical) presidential race. No matter where you fall on the political spectrum, go out and vote on Nov 8! This freedom we have, the right to vote, this civic duty that we sometimes take for granted, is to be cherished and celebrated. Make your voice heard.

As always, for any of your real estate needs, be sure to call me!

For a specific analysis of your property, whether a house or a condo, anywhere in Bethesda, Chevy-Chase, North Bethesda, Upper NW DC, Potomac, Rockville, and Kensington – please contact me and I’ll be happy to meet with you! It has been my privilege to help your neighbors with their real estate needs over the past 10 years. It would be an honor to help you, too.


Ask the Experts – Bethesda Magazine interview

Avi Galanti 0 comments 10.05.2016

Recently, I had the pleasure of being interviewed by Bethesda Magazine for their "Ask the Home Experts" section. Below is a segment that I hope you will find helpful!

How can I maximize the value of my property before entering the market?

The condition of your property is paramount to the way buyers will react to it and perceive its value when compared to other properties. Condition refers to two separate but related elements. One is the physical shape of the house. This includes items like fresh paint, replacing rotted trim, cleaning/repairing roof tiles, cleaning windows, replacing old carpets, and—possibly—updating bathrooms, the kitchen and unfinished basement or walk-up attic areas. Second is staging the house by removing excess furniture and personal items that clutter spaces and "hide" the true potential of the property. In today's market, buyers and agents will judge your property online before ever setting foot in your house, making it so much more critical that your online presence is pristine. Lastly, choosing the right Realtor that knows how to guide you through the process and provide solid advice on prepping your house for market can translate to a return of tens of thousands of dollars!

What qualities should I be looking for when choosing a real estate agent?

The short answer is market expertise and experience. In my mind though, the selection of a real estate agent goes well beyond that! It's about making a personal connection. You, the client, should feel you can truly trust the agent to provide a level of service that incorporates personal care, open communication, accessibility, solid advice on every aspect of the selling process and strong negotiation skills. The agent should also demonstrate wit, possess creativity and resourcefulness to deal with the unexpected, and above all, have great integrity!

Bethesda Chevy Chase Real Estate Report – Quarter 1 2016

Avi Galanti 0 comments 04.21.2016

Spring is finally here!

2015 closed strong. The real estate market in Bethesda and Chevy Chase thrived throughout the year with strong showings in early 2015 followed by robust spring and summer markets.

When comparing 1st Quarter 2016 with that of 2015, we see significant differences in the single family home market when broken down by zip code, whereby 20817 shows discouraging signs, 20814 and 20815 zips are showing solid signs of a healthy and strong sellers’ market. Generally speaking, the homes that sold in 20814 and 20815 were in close proximity to downtown Bethesda, indicating a continuation of a multi-year trend of buyers’ preference to neighborhoods with easy access to shopping, metro, dining, and other urban conveniences.

The number of homes sold in 20817 during Q1 fell 19.7% at 61 units compared with 76 units sold during Q1 in 2015. Days on Market (DOM) increased by 20% to 72 days, and the median home price fell 13.2% to $955,000.

By contrast, the single family home market activity in 20815 increased by 30% to 39 units sold with DOM average of 46 days which is 11.5% lower than the average in Q1 2015. The median sold home price increased 5.7% to $1,157,500.

Similarly, 20814 SFH market activity went up by 24.2% to 41 units sold during Q1 and median home price at $990,000, representing an 8.8% increase compared with 2015 Q1.

The condo market in all of Bethesda is off to a weak start when compared to the last quarter of 2015, and to Q1 2015! The number of units sold is down 30%, Median close price is down 6.8%, and DOM is up 153% to an average of 86 days. Having said that, the condo market in Bethesda, consists of wildly different types of products, by location and by price range. Therefore, jumping into any decisive conclusions about the vitality of the condo market in Bethesda is unwise. For a specific analysis of condo buildings, please contact me and I’ll be happy to share a detailed and customized market report.

I am hopeful that the spring market will be robust as more sellers enter the market and buyer activity increases. For any of your real estate needs, be sure to call me!