The market in Fairfax County Virginia is doing great in 2012. The number of transactions are down slightly for 2012 keeping inventory low in most areas. The prices have held up well and increased some in many areas thanks to low interest rates and good employment opportunities.
A lot of the attention in real estate has been towards distressed sales the last few years. While foreclosures and short-sales never really ruined the market in Fairfax County, some local areas did see values decimated by distressed sales after the 2006 real estate crash.
The worst seem to be behind us in Fairfax County. In 2009 a whole 34% of sales in Fairfax County were distressed. The percentage has decreased ever since and this year it seems that we may end up with a proportion of distressed sales at half that (about 17%.)
More regular sales, strong labor market and low inventory would normally mean rising prices. While prices are inching upwards in many places, reluctant and conservative appraisers are keeping a lid on rapid appreciation in many communities. Some will say that is a good thing after what happened during the boom years.