Concerned about buying a condo.. (Washington: to rent, condos, townhouse)

[Ihaterenting]

Hello all,
I am getting really close to the point where I can buy my first home and I've been borderline obsessing over buying a condo in the city. One of my many concerns, however, is resale value. I see condo's being built like crazy all over the city these days. That seems to suggest that it is very unlikely that the value of one of these condo's would increase much, if at all, over the next few years with there being so much supply..

Is this concern legitimate?

If you were getting ready to buy your first right now, what would you be thinking? I'm not trying to make off like a bandit here but I certainly don't want to end up like my friend in Atlanta whose place is actually worth less that it was when she bought it

[claremarie]

You are right to be concerned. There seem to be brand-new condos everywhere in DC and northern Virginia. I would take a good, hard look at the market trends in the neighborhoods that interest you, and consider how long you plan to stay in this condo. If there is actually a glut of condos -- especially at the entry level -- on the market, you can't expect to come out ahead should you need to sell in a few years. It might be smarter to continue to rent until you can afford to buy a townhouse or single-family house.

[Zippy7fo]

No don't be concerned. Here's what you look at

1. The neighborhood- Is it in a hip, young, educated neighborhood with some diversity/gays/entrepreneurs. If so the value will rise....

2. You have the baby boomers retiring looking to downsize. Thats why you have all the build up for Condo's now....

3. Washington DC metro is expected to gain a million new families/individuals in the next 20-30 years...Where are they gonna live. Strong economy and jobs, especially high paying/highly educated jobs....

4. You have 77 million people entering their early 20's and late teens right now. Where are they gonna live???? Where are the people who are living longer and healthier gonna live????

[lscalder]

Ithink condos will be the hot new trend in DC. Dc is becoming a fun,young,hip area where most people who move in donot have any kids so they tend to purchase condos. Dc reminds me of New York where condos in the city is hot.