Amazon turns northern Virginia into the country's most competitive domestic market

Even before Amazon.com Inc. completed its northern Virginia office, the e-commerce giant helped make this region the most competitive housing market in the United States.

According to a study by Redfin Corp, it is harder for buyers to win a home in Alexandria and Arlington, towns close to Washington Reagan National Airport and near Amazon's site, whose headquarters are located on the East coast. the offers above the price list and the speed with which properties are contracted out.

Houses sold last month were on the market for 11 median days in Arlington and 14 days in Alexandria, about a week less than the previous month for both sites. This compares to 27 days in the metropolitan area of ​​Washington, DC and 38 days nationally. About 57% of the homes near the Amazonian site in northern Virginia were purchased by buyers in less than two weeks.

In Seattle, where Amazon is located, residents have blamed the company's rapid growth and large paycheques for contributing to a housing affordability crisis. In the National Capital Region, investors are raising their prices, hoping they will be rewarded over the next decade by the arrival of tens of thousands of workers earning an average of $ 150,000 each.

"The Amazon HQ2 effect has become a permanent factor in the housing markets in Arlington and Alexandria," said Marcia Burgos-Stone, responsible for listing on Redfin in her newspaper. "Some sellers still choose to keep their home and wait for it to become a more concrete reality in the hope of getting more money. This has led to a shortage of homes for sale This puts pressure on buyers who are worried that they are left behind if they can not find a home before things get too hot. "

In Arlington and Alexandria, the number of homes for sale fell by about 50% in July from the previous year, Redfin said.

The brokerage analysis has rated a "competition score" on a scale of 0 to 100. In markets with a score above 90, most ads have multiple bids and contingencies – such as assessments or inspections – are often lifted. The cities of Arlington and Alexandria each got a score of 96, with Grand Rapids, Michigan, a city with a strong economy, growing job market and at relatively affordable prices, said Redfin. Tacoma, Washington, with 95, and Oakland, California, with 93.

Bloomberg News