Market Trends

Surging Listings Propel Market Availability in the Mid-Atlantic Region

In the real estate market of the Mid-Atlantic, an all-time high was achieved this April with the median price escalating to an unprecedented $410,000. The surge in pricing is coherent across various types of homes and has indeed set new benchmarks in four out of nine subregions within the spectrum of the Bright MLS network.

In what seems to be a boon for the market, the Bright MLS area observed an influx of 25,772 new listings in April 2024. This represents a considerable increase from the previous month and registers an impressive 14.7% surge compared to the same timeframe a year earlier.

Furthermore, there was a consistent uptick in new listings across all regions in the Bright MLS service domain during April 2024, and the roundup of active listings was significantly higher than the figures recorded in the same month the previous year. However, it is noteworthy that the total inventory levels are still hovering at 50% of their status back from April 2019.

The vibrancy of the market has been reflected in the number of closed sales, which, this April, rose by 7.6% against the numbers from April 2023. Additionally, new pending sales were 3.1% higher than last year's records. Despite this, a slight lag is seen in this year's total closed sales and new pending sales against those in 2023.

The current climate of the housing market remains fiercely competitive. However, the mounting mortgage rates which soared past 7% by mid-April, coupled with the escalating home prices, have sidelined some potential buyers. Hence, affordability stands as a pivotal determinant for the market's trajectory through the remainder of spring and the upcoming summer months.

Residents in North Bethesda, Maryland were greeted with the gratifying news on May 10, 2024, as per PRNewswire, that the year 2024 had fulfilled their aspirations for increased real estate selections. The first quarter of the year marks a 4.4% rise in new listings compared to the same period in 2023.

Invigorated with higher new listings since last year, the Mid-Atlantic's housing supply has bolstered significantly. Every metropolitan area within the region is now equipped with more active listings at the closing of April 2024 compared to those available during April 2023. Following three months of continuous growth, active listings sit at 17.2% above last year, with several metros featuring even more pronounced improvements.

Dr. Lisa Sturtevant, Chief Economist at Bright MLS, conveyed that while the increased supply represents good tidings for the market, achieving a balanced housing market is still a distant reality. According to her, affordability is becoming increasingly challenging, noting that although there is a rise in new listings, the activities related to showings are surprisingly low.

The Mid-Atlantic's April median sale price didn't just equal the previous records; it created a new one at $410,000. When looking at the median days on the market, the competitive spirit remains fervent. Homes sold in less than eight days account for half of April's sales, indicating the rapid pace at which deals are being closed.

Nevertheless, purchases are consistently being made across the Mid-Atlantic region. Closed sales for the month of April in 2024 exceeded those of April 2023 by 7.6%. Comparing the year-to-date figures of both closed sales and new pending sales to those in 2023, there is a marginal decrease of 0.9% and 0.4% respectively.

April Housing Market Insights by Region

Philadelphia: Two-Year High in Price Growth

In the Philadelphia metro area, home prices have escalated rapidly, with the median price reaching $365,000 in April—a 10.9% hike compared to the previous year, marking the fastest acceleration in the year-over-year price appreciation since May 2022. Significantly, the steepest increases have been observed in the suburbs of New Jersey.

Aside from pricing, new listings in Philadelphia and its surrounding counties have ramped up supply, outpacing the rate seen in 2023. Although Philadelphia County remains an exception, other counties have gathered more active listings at April's end than the year prior. Even with a roughly 40% uplift from April 2019's inventory, the market's supply remains taut.

Moreover, the market hasn't slowed down when it comes to sales velocity. In Philadelphia, half of the homes listed were sold in nine days or less, only a slight increase from the median of 11 days on the market in April 2023.

Baltimore: Growing Inventory and Quick Sales

Remarkably, the Baltimore metro region has seen a 15.7% boost in inventory compared to last April, with nearly 4,000 homes listed as available. This represents the highest end-of-April home availability since 2020. Despite the expanded selection for potential buyers, the pace at which homes are sold remains quick—almost half were sold in eight days or less.

Price trends in Baltimore are also on an upward trajectory. The median sold price in the metro area reached $381,000 in April 2024, a 5.8% elevation from the previous year. Narrowly missing the peak median price of $385,000 witnessed in June and August of 2023, it stands just $4,000 short of the record high.

Washington, D.C.: More Inventory Spurs More Transactions

An encouraging trend emerges in the Washington D.C. metro area as active listings have outpaced last year's figures for three consecutive months. At the conclusion of April, there were 6,569 active listings, marking a 21.8% hike from April 2023. The buyers' zeal remains undeterred as closed sales have seen a 7.4% increase compared to last April. Moreover, there's a positive shift in pending sales, up by 4.0%, which is the first year-over-year rise since February 2022.

This April in D.C., the median home price soared to a new zenith at $640,000. Detached homes and townhomes witnessed record-high median sales prices, while condominium prices stayed slightly below the peak reached in February 2024.

Comprehensive Market Insight Reports

Those interested in delving into the full Mid-Atlantic and specific market metro area reports can access in-depth information at BrightMLS.com/MarketInsights. The reports provide extensive data and are essential for those looking to make informed decisions in the region's real estate market.

About Bright MLS

Formed in 2016 through the collaboration of 43 associations and two leading MLS entities, Bright MLS has been at the forefront of revolutionizing the role and functions of MLS systems. Serving the industry and its consumers in the digital age, it has positioned itself as the definitive source for comprehensive real estate data across the Mid-Atlantic. Bright MLS's area of coverage encompasses the states of Delaware, Maryland, New Jersey, Pennsylvania, Virginia, West Virginia, and the District of Columbia, supporting over 100,000 real estate professionals. They are instrumental in delivering the promise of home to over half a million homebuyers and sellers each month. Find out more by visiting BrightMLS.com.

In conclusion, the Mid-Atlantic real estate market data from Bright MLS shines a light on the market conditions, reflecting an increase in inventory through new listings and sustained price growth. Numerous submarkets within the region have set new pricing records, showing the robust nature of the current real estate market. Nonetheless, challenges such as high mortgage rates and diminishing affordability are apparent, which could influence the market's growth trajectory in the months ahead.

Buyers and sellers in the Mid-Atlantic region are thus urged to remain informed and vigilant regarding market trends. While the higher number of listings provides more options, the competition remains stiff, and the speedy sale of properties suggests a sellers' market. With the invaluable insights from Bright MLS, market participants can navigate this dynamic landscape with greater confidence and strategic foresight.

As we look into the future, the real estate landscape in the Mid-Atlantic promises both opportunities and challenges. It will be essential for stakeholders to adapt to the fluctuations in supply and demand, affordability issues, and changing buyer sentiments. Continuous monitoring of market reports and analyses from trusted sources like Bright MLS can guide informed decision-making and successful transactions in this vibrant and ever-evolving market.

Stay abreast of the latest trends, and keep an eye on the future directions of the Mid-Atlantic real estate market by referencing comprehensive, accurate, and up-to-date data from Bright MLS. Their detailed reports and market insights are invaluable resources for anyone engaged in property transactions within the region.