The overall year-over-year, locally and non-locally assessed tax base increased 2.57%. Demand for existing residential single-family properties and condominiums resulted in an overall 4.55% increase to the residential assessments. The multi-family rental sector continued its decrease a further 1.11%. The office sector continued to decrease another 10.28%. Overall, commercial values decreased 0.88%. This marks the fourteenth consecutive year that the City’s overall assessed values have reported a net increase.

The City’s residential market continued to rise despite variable mortgage interest rates. The available supply of housing for sale remained low. The average days on the market for 2024 sales was slightly shorter than in the prior three years. Properties that transferred typically produced assessment to sales price ratios below 100%, justifying the increases in assessments reported January 1, 2025. 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 2025, 83% of residential properties increased, 1% decreased, and 16% remained unchanged. 

• As of January 1, 2025, the average value of existing residential property, including single-family and condominium is $729,925, an increase of 4.45% from the average value of $698,794 in CY 2024.
• The average single-family house for CY 2025 is assessed at $1,001,336, an increase of 4.06% from the average single-family value of $962,276 the previous year.
• The average CY 2025 residential condominium is assessed at $447,612, an increase of 5.63% from the average condominium value of $423,765 the previous year.

Throughout the year, there are adjustments to the values of properties based on reviews and appeals.

Multi-family property values saw a further decrease from 2024. While multi-family rent increased and operating expenses remained steady, capitalization rates also increased. The decreasing existing multi-family market was offset by the construction of new properties. Most anticipated construction projects are still expected to advance during 2025, even though the pace of new construction remains slower than in years past due to increasing costs and continued difficulty obtaining loans.

Office property values further declined due to weak demand, typical vacancy at 18%, and the need for 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 recovered at a slower rate. 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 2024. 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.