FOX 5 MONEY:DC Condo Sales Looking Up

The sun has started to shine again on DC's condo market. "It is a little bit of a relief... it's a good thing to see, " says Sadie Simpson, sales manager for Union Row condos.

According to the Greater Capital Area Association of Realtors, condo sales in July and August have finally posted a back to back gain.

"Summertime is generally slow, but June and July were very busy months for us as far as moving inventory. August has also been better than the past couple of years." says Simpson.

Before the credit crisis, condo projects like Union Row along 14th Street Northwest would sell out so fast, they wouldn't even have a model to show.

The housing crash meant units were a lot harder to move. Now, it seems -- demand is coming back.

"We sold out of the 200k units and we sold out of the 300k units." reports Simpson.

Of the development's 267 units, only 14 are left.

Home sales nationwide in the first half of the year had fallen off the cliff. They're still down to 2001 levels, but starting to stabilize, with small increases every month.

Mike Fratantoni of the Mortgage Bankers Association says good values and government support have provided some lift.

"Couple low mortgage rates, low and declining home prices in some cases, and some of the tax benefits as well, all have helped to boost healthy demand to some extent," says Fratantoni.

Fratantoni says condo sales are generally a good indication of where the rest of the housing market is going, though there are challenges ahead.

"We think this is going to be a long, slow, extended painful recovery we've not seen the worst of the job market decline yet." he predicts.

The job market will have to hit solid ground before the housing market can make a full comeback.

But sellers generally like the view in front of them.