The overall value of Alexandria’s taxable property increased 0.33% compared to January 2023, although each individual property’s value may have increased, decreased, or remained unchanged. The tax base increased by approximately $596 million, including $73.91 million in appreciation of existing properties and $522 million in new development and construction.

Year-over-year, average residential values increased 2.98%, while commercial assessments decreased 4.00%. 

The overall increase exhibits continued improvement in the residential market and substantial decrease of multi-family construction.

The City’s residential market remains resilient despite rising mortgage interest rates. Job growth remained strong, but the available supply of housing for sale remained low. Homes were still increasing in value, but at a slower rate than those witnessed in the previous three years. The average days on the market was consistent with 2022. Properties that transferred typically produced assessment to sales price ratios below 100%, providing the justification for the increases in assessments reported January 1, 2024. The City of Alexandria continues to be a desirable place to live with low unemployment, a significant number of high-paying jobs, and its prime location inside the Capital Beltway with five Metro stations. 

For CY 2024, 62% of residential properties increased, 3% decreased, and 35% remained unchanged. Most properties increased between 0 to 5 %.

• As of January 1, 2024, the average value of existing residential property, including single-family and condominiums, is $698,794, an increase of 2.78% from the January 1, 2023, value of $679,914.
• As of January 1, 2024, the average single-family house is assessed at $962,276, an increase of 2.33% from the January 1, 2023, value of $940,375.
• As of January 1, 2024, the average value of a residential condominium is $423,765, an increase of 3.96% from the January 1, 2023, value of $407,616.

Throughout the year there are adjustments to the values of properties based on reviews and appeals. The average values of real property as of December 31, 2023, compared to January 1, 2024, will typically show a lower rate of increase.

Multi-family property values saw a decrease for the first time since 2010. Multi-family vacancy remains low, rent increases slowed and operating expenses remained steady, but capitalization rates increased after low rates in the previous years. Some multi-family property value decrease was offset by the construction of new properties. However, the pace of construction projects slowed as costs and difficulty obtaining loans increased. Fewer projects completed construction in 2023 than in the prior year. Many anticipated construction projects are still expected to advance throughout 2024. Office property values declined 12.38% due to weak demand, typical vacancy exceeding 15%, and many concessions. Several older Class B & C properties have plans to convert to residential uses.  The hospitality sector saw increases in both the average daily room rates and occupancy which produced higher income, but business travel has not returned to pre-2020 levels. Industrial and self-storage property values remained steady year-over-year.

The Office of Real Estate Assessments encourages commercial property owners to file an annual Income and Expense Survey for CY 2023. These can be filed in writing or electronically. Instructions for completing the survey are available on the Office of Real Estate Assessment’s website at alexandriava.gov/realestate. Surveys will be mailed in early March and have a filing deadline of May 1. Where properties are comprised of multiple parcels and function as one economic unit, one parcel reflects the total property value of all ancillary parcels. The ancillary accounts are maintained as active in the system, but have no value associated with them. This eliminates multiple bills and reduces the cost of postage. No property rights are lost by the owner.