Reston Real Estate: How's That Market Looking?

Based on everyone's favorite game of real estate wheeling and dealing, we all know it's always time to BUY BUY BUY in Reston. But it's been a while since we've seen the spastically dancin' real estate signs, which got us to wondering how the real estate market is these days?

You'll be happy to know that Reston is still near the top -- at least in commercial office space vacancies.

The direct office vacancy rate hit 13.9 percent in 2009, the highest point in more than 16 years. Throw in sublet space, and the vacancy rate bumped up to 16.4 percent. The majority of the vacant space can be found in four submarkets: Tysons Corner, Reston, Chantilly and Dulles.

There is good news, though. Despite 2009 ending as the worst year on record in Fairfax County since the dot-com/telcom bust of 2002, demand so far this year has been the strongest in three years.

As for the residential real estate market, here's what one local sage had to say:

The real estate market in Reston, and in many cases nationwide, seems to be on an improving track. Sales nationwide in March were up over 6 percent. In Reston, we have seen great activity in the under $400,000 range. It is interesting that we are seeing multiple offers and in some cases escalation agreements on well priced properties in good locations.

What's hot: All condos, everything around Reston Town Center (with some re-sales in the $1,000,000+ range). Properties walking distance to the future Wiehle Metro station (would be primarily townhouses and condos) and anything in North Reston under $600,000.

And what’s not — older properties in all categories that have not been improved/upgraded. This is not a market where we can put a home up for sale in any condition and assume it will sell. Reston properties from the 70s and 80s are “outdated” by today’s standards — 8-foot ceilings, small bedrooms and bathrooms. To get top dollar, you want to invest in upgrades that buyers are looking for. They will pay top dollar while the unimproved properties linger on the market.

We're guessing this property got top dollar then.