Who actually lives in the "newer" condos on the Ballston-Rosslyn Corridor?

[Forehead]

Let's not forget that in addition to parents possibly helping out, just a few years ago mortgage lenders would approve almost anyone. $300,000 for someone making 60K a year? Hell, that's almost a responsible loan compared to some of the other ones I read about.

My parents believed in helping with two things; education and a first house. When my wife and I got married, they helped us with our downpayment for a townhouse in Woodbridge. The agreement being that they would get either the downpayment back, or a percentage of the sale price of the home equal to the percentage of the downpayment on the purchase price. Given the way the market has turned and our desire to move soon, I'm guessing that it's going to be the downpayment.

[lackadaisi]

A lot of young lawyers want to own something close to work. Most make more than $60,000; some start at over $150,000 when they are about 25. They don't need their parents to help them pay. And, a lot of couples who make a lot less buy one bedrooms together, even though they are small. Some people prefer a good location to a lot of space. I know I do.

As a mid-thirtysomething, I am considering purchasing a two-bedroom in the area. It was two sterile for me in my twenties, but now that I have a child, the schools are looking pretty good. And, I have no desire for a house - I love condo living.

[Deeman804]

I know a young couple mid/upper 20's and their combined income is 160 K and that kind of mortgage doesnt make them sweat. There are looking to purchase in that range. Also, its not a bad investment considering that they continue to develop the corridor.

[ACWhite]

There are also investors who bought as prices went up, and are renting out the units.

[NOVAmtneer82]

I do. I'm 28 moved to this area right out of college and secured a job as a Business Consultant. I lived in a less than desirable apartment complex right next to Route 50 in Rosslyn for a year, had roommates for several more, saved over about 5 years while still splurging on myself from time to time, and searched endlessly around for about a year before purchasing. It happens.

My Clarendon condo isn't huge and it can be tough to swallow paying condo fees but I love where I live. I purchased a 2 bedroom with a den last year and rent the other bedroom out to a friend of mine that I work with. Obviously this isn't a permanent situation but it works for now...especially since I've been living with roommates off and on since college. I know a lot of people my age who do the same.

I don't pretend that everyone makes my salary or has had the same experience but this isn't a one size fits all environment...North Arlington is after all one of the most desirable places to live in metro DC. Prices are high because of the intense demand to live here. And although there are many young people in this area, the demographics go well beyond that. My complex has a variety of individuals ranging from early 20s individuals still living off mom and pop to middle aged dual income households to international singles (or couples) on assignment here for a few years to even an empty nester or two. You also have to factor in that the Rosslyn-Ballston corridor is not always the first place people in this area purchase a home. Several residents in my complex chose to buy their first place in complexes outside the Beltway, saved up equity and then moved to Arlington.

[slim04]

Originally Posted by Nemesis16

A small 1 bedroom/1 bathroom on this strip costs $300k and up. This area is suppose to be a beacon for 20 somethings; I find it difficult to believe that individuals with $60k+ incomes could afford this premium.

What's your take?

Not all those 20 year olds hanging out in Ballston live there. Ballston has cheap and plentiful parking, so poor 20 year olds living in Bailey's crossroads or southern Arlington can easily go there to play instead of the local mom and pop Peruvian chicken place next door. Those 1970's era apartments on Columbia Pike that require taking a bus to the metro are pretty cheap. That's where a lot of younger government and nonprofit workers live.

It's kind of like Dupont Circle which is full of 20 to 30 year old hipsters. However, the only people that I know that own a place in Dupont are in their 60's or are millionaires.

Plus, a lot of those twenty year olds may actually be in their late 20's or early 30's and easily pulling down $100K+. Add a dual income, they probably could afford a $300K to $500K condo.

[gutter2d]

I'm 25, make in the 60s, and live in an apt in Ballston right now with my gf. Our rent for a 650 SF 1-bedroom high-rise apt is $1,650 a month + $35 for 1 parking space + utilities ($115 cable, ~$40 electric, $~80 trash/water/admin). I think the 30-year mortgage monthly payment for a condo in the 300s would be cheaper than that, especially considering all the tax breaks you get for owning a house.

I hope to buy something before me lease expires in August, but my concerns concerning a 1 bedroom condo in the Orange-Line corridor is that it won't appreciate in value and eventually I'll be stuck selling it for exactly what I paid for it (if I'm lucky). I noticed that the prices of most Arlington condos in the year 2000 was about 30% of what they are valued at now, so I think they are way overpriced and can't imagine them going up much more since no one will be able to afford them at that point. I would prefer a house, but all the homes in Arlington are from the pre-WW2 days, cost above $500k, and require lots of work (and $$$) to modernize.

Anyone think its a good idea to buy a condo in Arlington at this point, or is this a poor investment? Are there any foreclosures around here?

[DC-Ballston Guy]

OP is somewhat naive, certainly the vast majority of 20-somethings don't earn high enough salaries to purchase 300k+ units, but there are plenty of young professionals from age 21 and up in the DC metro area who do. Lawyers, lobbyists, World Bank, political appointees, defense/government contractors, finance, consulting firms etc. etc.

The starting salary for the top handful of DC law firms is $160k+ for example- many first year associates at these firms are in their mid-twenties.

I owned my first home in the area at 27 at around $420k. 90% of the down-payment came from my earnings/investments, and 10% from family support. Next home I purchased very recently in my early 30s was a townhouse in N Arlington, for more than double....many friends and colleagues same age and situation. This region has the highest median salaries in the country and lowest unemployment rates, shouldn't really be a shock that young people can afford to buy expensive property....

[stpickrell]

Originally Posted by gutter2d

I'm 25, make in the 60s, and live in an apt in Ballston right now with my gf. Our rent for a 650 SF 1-bedroom high-rise apt is $1,650 a month + $35 for 1 parking space + utilities ($115 cable, ~$40 electric, $~80 trash/water/admin). I think the 30-year mortgage monthly payment for a condo in the 300s would be cheaper than that, especially considering all the tax breaks you get for owning a house.

I hope to buy something before me lease expires in August, but my concerns concerning a 1 bedroom condo in the Orange-Line corridor is that it won't appreciate in value and eventually I'll be stuck selling it for exactly what I paid for it (if I'm lucky). I noticed that the prices of most Arlington condos in the year 2000 was about 30% of what they are valued at now, so I think they are way overpriced and can't imagine them going up much more since no one will be able to afford them at that point. I would prefer a house, but all the homes in Arlington are from the pre-WW2 days, cost above $500k, and require lots of work (and $$$) to modernize.

Anyone think its a good idea to buy a condo in Arlington at this point, or is this a poor investment? Are there any foreclosures around here?

Remember condos will include condo fees (which may or may not include utilities). Also there was a FHA change that makes it slightly harder to buy a condo (and then later sell it).

If your GF makes a similar salary, then your budget is reasonably 300-450k, assuming you're ok with the legal and other implications of buying a house with someone to whom you're not married.

There are houses in the 22204 and 22206 zip codes for 400k or so but they will also be older, or maybe 80s/90s townhomes.

[boyd888]

Originally Posted by stpickrell

If your GF makes a similar salary, then your budget is reasonably 300-450k, assuming you're ok with the legal and other implications of buying a house with someone to whom you're not married.

Buying a house with someone you aren't married to is a terrible idea. Neither one of you can afford it on your own and if you break up you will both take a bath selling it. Condos in Nova are not exacting breaking bank with appreciation right now so I think you are better continuing to rent.