New listings outpaced new pending contracts in March
- There were 28,309 active listings on the market across the Bright MLS service area at the end of March. Inventory is up 3.9% year-over-year, though supply remains low by historic standards with inventory at less than half of what it was in 2019.
- Inventory is not increasing in all local markets. Supply has been increasing most quickly in the Maryland Eastern Shore and Del/Mar Coastal region. The number of available homes for sale continues to decline in the Philadelphia metro area, along with Southern Maryland and North Central Virginia.
- Prices continue to rise strongly in the Mid-Atlantic. The median sold price in March was $393,702, which was up 7.0% year-over-year.
- Homes are still selling quickly. The median days on market in March was 10, meaning half of all homes sold in 10 days or less. This is two days faster than a year ago, and much quicker than a more typical housing market.
- Mortgage rates will come down later in 2024, which could bring both more buyers and more sellers into the market. However, it is likely to remain a competitive housing market throughout the year.
NORTH BETHESDA, Md., April 10, 2024 /PRNewswire/ — Fueled by more new listings, supply has increased for the second month in a row in the Mid-Atlantic. Despite elevated mortgage rates and the “lock in” effect, changing family or financial situations are leading more homeowners to list their home for sale. More inventory is a welcome sign for homebuyers in the Mid-Atlantic, but overall supply is still low. The number of active listings at the end of March was less than half of what was available at the end of March 2019.
There were 21,892 new listings that came onto the market in March, which is 7.1% fewer new listings than last March. However, new listings have increased month-to-month since the beginning of the year. And the number of new listings coming onto the market outpaced those coming off as new contracts.
In March there were 21,412 new pending sales across the Mid-Atlantic, close to last year’s level and up 21.5% between February and March.
“We are beginning to see more sellers coming into the market, despite rates still in the high 6’s,” said Dr. Lisa Sturtevant, Bright MLS Chief Economist. “While many homeowners are still holding onto their very low mortgage rates, there are others who are deciding that they need to move.”
After two months of flat closed sales, the number of closed sales in March fell by 11.0% year-over-year. However, sales did increase by 20.4% between February and March, which is a typical seasonal pattern and an indication that buyers are out there despite elevated rates.
Mortgage rates will stay higher for longer, as the Federal Reserve will probably delay rate cuts until July. Expect rates to come down in the second half of 2024 but remain above 6% this year. Even a modest drop in rates will bring both more buyers and more sellers into the market.
March Mid-Atlantic Housing Market by Region
Philadelphia:
After a brief uptick in February, inventory in March fell in the Philadelphia metro area
- There were 8,636 active listings at the end of March across the Philadelphia metro area, 2.8% below the level at the end of March 2023.
- The lack of supply isn’t likely to change in the near future. The number of new listings coming onto the market was down 11.1% compared to a year ago. Overall, new listing activity in the first quarter was 4.5% below 2023.
- Home prices in the Philadelphia metro area are still rising. The median price in March 2024 was $350,000, 7.7% higher than March 2023. Prices were up by double-digit rates in some of the region’s suburban markets.
Baltimore:
The median home price in the Baltimore metro area rose faster than it has since June 2021
- The median price of homes sold in the Baltimore metro area in March was $370,000, up 10.4% compared to a year ago. Prices rose across the region, with the fastest price growth in Howard County (+16.5% year-over-year).
- The pace of the housing market in the Baltimore region remains brisk. In March, half of the homes sold across the region sold in eight days or less. Only Baltimore City had a significantly slower market, with a median of 19 days on market.
- Inventory is increasing in the region. At the end of March, there were 3,635 total active listings on the market, up 4.2% from a year ago. However, the number of new listings is still below the number of new pending sales, which suggests supply will continue to be tight in the Baltimore region.
Washington, D.C.:
Median home price at near record high despite more inventory on the market
- The median sold price in March in the Washington D.C. metro area was $599,990, up by 10.1% in March, the fastest pace of home price growth since February 2022. Prices were up in all jurisdictions with the exception of the District of Columbia (-0.1% year-over-year change).
- New listings outpaced new pending sales in March, which is what led to growing month-end inventory. The number of new listings also increased between February and March, which is a typical seasonal pattern heading into the spring market.
- Homes continue to sell quickly in the competitive Washington D.C. metro area market. Half of all homes sold in March were on the market a week or less.
The full Mid-Atlantic and market metro area reports are available at BrightMLS.com/MarketInsights.
About Bright MLS
Bright MLS was founded in 2016 as a collaboration between 43 visionary associations and two of the nation’s most prominent MLSs to transform what an MLS is and what it does, so real estate pros and the people they serve can thrive today and into our data-driven future through an open, clear, and competitive housing market for all. Bright is proud to be the source of truth for comprehensive real estate data in the Mid-Atlantic, with market intelligence currently covering six states (Delaware, Maryland, New Jersey, Pennsylvania, Virginia, West Virginia) and the District of Columbia. Bright MLS’s innovative tool library—both created and curated—provides services and award-winning support to well over 100K real estate professionals, enabling their delivery on the promise of home to over half a million homebuyers and sellers monthly. Learn more at BrightMLS.com.
SOURCE Bright MLS
