Maryland Housing Trends Report Released | Part 3 BRAC
February 12th, 2008 Categories: BRAC, Maryland Real Estate News
According to the Maryland Trends in Housing report written by MRIS and Delta Associates, the Pentagon’s Base Realignment and Closure operation (BRAC) will have a profound effect in our local market.
The report confirms what I have written already regarding the effects of BRAC in Howard County, and surrounding areas. My sources of information for those articles came from the Howard County BRAC Task force as well as Maryland BRAC web pages. For resources I encourage you to also check out my BRAC Resource page that I have created.
According to the Trends in Housing report, approximately 30,000 military jobs will be added to the region by the year 2011. Many of the new positions will bring additional family members along with them, thus increasing the population dramatically.
Interestingly, the number of jobs created by BRAC will actually be higher because of the private sector jobs that will pop up to support the additional households. For example, you may see small businesses such as dry cleaners, restaurants, contractors, or any other business that would be supported by the additional households.
According to the Maryland Department of Housing and Community Development, the BRAC operation will create 28,200 new households for Maryland. They expect that approximately 22,000 of these households will purchase homes. The expected breakdown is as follows:
- 18% will buy a home in Anne Arundel County
- 9% will buy a home in Montgomery County
- 8% will buy a home in Prince Georges County
- 7% will buy a home in Howard County
- 14% will buy a home in Baltimore County
- 10% will buy a home in Baltimore City
- 26% will buy a home in Harford County
- The remainder will settle in Cecil County, Washington DC, Pennsylvania, and Northern Virginia.
The Trends in Housing report makes it clear that the BRAC operations will have an impact on housing in our region and will offer both opportunities and challenges.
- Housing Affordability: Increased Demand of homes from people with above than average incomes.
- Increased traffic and additional problems with road conditions forcing many to purchase homes closer to their base.
Maryland has started discussing infrastructure upgrades for our roads near military bases, including Rt. 175, Rt. 32, and Rt. 3. Extension of the Metro’s green line to BWI is also on the table for discussion. Negative effects of traffic could also effect home prices.
Stay tuned to this site for constant updates on BRAC, specifically how it effects Howard County Maryland. I will have updates for you on the task force meeting scheduled tomorrow as well. (open to the public). I have volunteered to serve on the Housing Task Force as they enter Phase III of their project.
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I can hear the investors running to there lap tops as I read this trying to buy up the foreclosures and rehab for future flipping with this influx of people coming to the area. Hopefully this will help this area with there foreclosure dilema and give people the option to move if they choose to sell.
Comment by Port Orange Homes For Sale — February 12, 2008 #
It’s tidbits like this that can really pump the economy and public cautiousness about buying and selling not $600.00.
I agree with the above comment the investors will be on this one like fleas on a dog!
Comment by Port Orange Homes For Sale — February 13, 2008 #
Our investors are keeping a strong eye on BRAC progression. The breakdown above is interesting–I was expecting to see more of an interest in the PG County area
Comment by Shawn E. Costley — February 13, 2008 #
Shawn,
Thanks for your comment. Funny you should bring PG County up. The trends report I summarized was very broad indeed. I just came back from the Howard County BRAC task force meeting. The theme that came out of the meeting was the importance of a “regional” focus. Not only that, but PG County was mentioned as one that may experience more growth from BRAC than previously thought.
As a real estate agent, I rarely work in PG County, so my posts will usually focus on the areas I do work in primarily which is Howard County, Baltimore County, and Carroll County. Since I grew up in Anne Arundel I occasionally work there too.
Please keep me posted on what your investors are seeing, their perspective is very valuable.
Thanks again!
Comment by Scott Saghirian — February 13, 2008 #