There have been significant financial improvements observed over the last four years, and during in more recent months, home values across the country have climbed considerably after a sharp decline. This is also true of perhaps the nation’s most famous residence: the White House.
Experts believe that since President Barack Obama took office in January 2009, the White House’s value has risen some 7 percent, to a total price tag of $294.9 million, up from $275.6 million, according to new data from the Zillow Home Value Index. Interestingly, that increase is actually less significant than those the Obamas’ neighbors have enjoyed; Washington, D.C., property values have risen some 13.6 percent during the same period.
The White House’s current value is still below its all-time peak, however, the report said. In July 2006, it was valued at $299.9 million, and as recently as last August carried a potential price tag of just $271.1 million.
“The White House’s appreciation over the past four years failed to match that of the city of Washington, D.C., overall, but that’s because the city of Washington as a whole outperformed the immediate neighborhood surrounding the White House,” said Zillow chief economist Stan Humphries. “Value growth of 7 percent since early 2009 far exceeds the national average over the same period, and most homeowners would be quite pleased with a 7 percent return on their investment since 2009.”
Someone who tried to obtain a 30-year fixed-rate mortgage for the famous property with the best available terms (a 3.276 percent interest rate after a 20 percent down payment), could expect to pay a little more than $1.13 million per month, the report said. Those that tried to simply rent the property could expect those payments to cost them $1.75 million a month.
However, it should be noted that during this period, the median home value nationwide slipped about 5.3 percent to just $156,200 in November 2012 from the $164,900 observed in January 2009, the report said. But with that having been said, there has also been a year-over-year increase of 5.2 percent between November 2011 and 2012.
Housing values are expected to continue expanding over the course of 2013 and some estimates show the increases could be as high as 9 percent over the course of the year, which would bring millions of underwater homeowners back to being right side up on their mortgages.
Image: DUCKofD3ATH, via Flickr