Report sheds light on price growth
The median price of a home in the mid-Atlantic has reached a record high of $422,535 – with prices expected to continue rising in the months and years ahead, according to the Bright MLS May 2024 Housing Report.
"While we anticipated price growth in 2024, the new record highs also bring challenges," said Bright MLS chief economist Dr. Lisa Sturtevant in remarks accompanying the release of the report. “Buyers on the fence of affordability must move to the sidelines. However, for those who can persist, more choices are coming online, and market conditions should ease in the second half of the year.”
In Philadelphia, for example, the median price sits at $375,000. There has been an 8.7% price increase in the suburbs, where the region’s housing growth is strongest, according to the report.
Read more: Are suburbs more expensive?
Many prospective buyers are seeing little choice but to forgo their purchase thanks to high prices, the research said. Meanwhile, year-to-date sales activity is slightly behind that of last year despite higher closed and new pending sales in May.
In Washington DC, the median price was up by 6.7% compared to last year. Nevertheless, the median price remained stable in the DC metro, from April to May, at $640,000.
Baltimore also recorded a dip in activity last month, with closed sales across its metro area 2.4% lower than in May 2023, noted the report. Slower demand and additional housing supply do not appear to have impacted prices significantly, with the median sold price being $400,000 – the highest recorded for the area.
“Closed sales improved in May (+1.0%). Year-to-date new pending sales and closed sales are only slightly below last year, down -0.8% and -0.3%, respectively,” the report said.
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