More than 40% of homes across the D.C. region lost value over the past year, a new analysis found. But that doesn’t mean homeowners in Fairfax or surrounding areas are taking major losses on their properties.
Only 2.6% of D.C.-region home sales in the past year were listed for sale below the home’s previous sales price, according to data compiled by Zillow.
The reason? The homes sold in the D.C. region this year had belonged to their current owners for a median length of 9.4 years, during which the market saw significant price increases.
“Relatively few are selling at a loss,” said Treh Manhertz, a senior economic researcher at Zillow. “Home values surged over the past six years, and the vast majority of homeowners still have significant equity.”
In the D.C. area, the average increase in value since a home’s last sale is 48%. Though lower than the 67% price appreciation nationally, the D.C. figure is more reflective of the region’s traditional housing stability, with fewer peaks and valleys than other parts of the country.
While long-term increases pile up over time, an estimated 43.2% of D.C.-area homes lost value over the past year, based on the Zillow analysis.
Despite the economic challenges facing the region, it still outperformed the nation as a whole. A majority of homes nationally — 53% — lost value from 2024 to 2025, based on October data.
That national figure climbed from just 14% a year ago, and is the highest since April 2012.
In Fairfax County, sales data from the first 11 months of 2025 show prices climbing, albeit slightly, year over year:
- The average sales price for all homes that sold during January through November was $885,362, up 3.1%.
- The median sales price was $753,974, up 2.9%.
- The average per-square-foot sales price for all properties countywide was $350, up 1.7% from $344 during the same period in 2025.
Local figures come from MarketStats by ShowingTime, which compiles statistics for Bright MLS, the region’s multiple-listing service.
Manhertz said homeowners should take a breath and not be rattled by short-term gyrations.
“What we’re seeing now is a normalization, not a crash,” he said.
Metropolitan areas that saw some of the fastest growth early in the pandemic, and the two most expensive areas of the country, have the largest share of listings priced below their last sale, led by San Francisco (14%), Austin (13%), San Jose (9%), San Antonio (8%) and Dallas (7%).
Nationwide, home values have seen a median increase of 67% since last sale — roughly eight and a half years ago. In some fast-growing and supply-constrained metros, home values have risen much faster since the previous sale, led by Buffalo (108%), San Jose (97%), Providence (95%), Columbus (90%) and San Diego (88%).
One contributing factor is that owners in these areas tend to stay in their homes longer than average, Zillow analysts said.
Metro areas that have seen more than 75% of homes post record lower year-over-year values include Los Angeles, Dallas, Houston, Miami, Phoenix, San Francisco, Seattle, San Diego, Tampa, Denver and Orlando.
Metro areas with less than 30% of homes recording lower year-over-year values include New York City, Chicago, Philadelphia, Boston, Cincinnati and Cleveland.
