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.
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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