Mid-Atlantic Region Real Estate Report – February 2025
Data Source: Bright MLS Weekly Market Report, Week Ending November 10, 2024
Report Prepared by Square Feet Appraisals in Collaboration with Delaware Beaches Online
Key Market Statistics
The Mid-Atlantic housing market has been off to a slow start in 2025. Despite rising home prices, challenges like economic uncertainty and fluctuating mortgage rates have resulted in fewer sales and new listings. Here’s a detailed look at the market trends, key insights, and observations to help buyers, sellers, and industry experts navigate the market.
| Metric | Feb 2025 | Feb 2024 | Change |
|---|---|---|---|
| Closed Sales | 12,763 | 13,334 | -4.3% |
| Median Sold Price | $400,000 | $383,000 | +4.4% |
| New Pending Sales | 16,020 | 17,626 | -9.1% |
| New Listings | 17,805 | 19,350 | -8.0% |
| Active Listings | 33,045 | 27,957 | +18.2% |
| Median Days on Market | 19 days | 16 days | +3 days |
| Showings | 317,399 | 373,758 | -15.1% |
1. Takeaways
Here are the major points to remember from February 2025:
- Sales Activity Down: Closed sales dropped by 4.3%, and new pending sales fell by 9.1%, indicating a slower market.
- Prices Still Rising: Despite fewer sales, the median home price increased by 4.4% compared to last year, with condos hitting record highs.
- More Homes Available: Active listings rose by 18.2%, giving buyers more options.
- Homes Taking Longer to Sell: The median days on market increased by 3 days, signaling a slower pace of transactions.
- Showings Declined: Buyer activity saw a 15.1% drop, highlighting caution due to economic concerns and mortgage rate uncertainty.
2. Key Insights
Some important insights from the data include:
- Mortgage Rate Sensitivity: Buyers are holding back, waiting for better mortgage rates. Quick action will be necessary when rates drop.
- Inventory Growth: Although more homes are available, fewer buyers mean homes are sitting longer, giving buyers negotiating power.
- Price Resilience: Prices are still rising despite slower sales, especially for condos, which reached record highs. This suggests that well-located or well-priced properties are still in demand.
- Regional Differences: Areas like the Washington, D.C. Metro and Philadelphia Metro are seeing stronger price growth, while regions like the MD/WV Panhandle experienced a price dip.
3. Observations & Trends
Here’s what we’re seeing in the current market landscape:
- Volatility Ahead: The market is expected to remain unpredictable in the coming months, especially as mortgage rates fluctuate.
- Buyers Gaining Leverage: With homes sitting longer and more listings available, buyers have better opportunities to negotiate deals.
- Condo Market Strength: The condo segment is outperforming others, with record-high prices and increased demand in urban areas.
- Urban vs. Suburban: Markets closer to cities, like Washington, D.C., are seeing faster sales and stronger price growth than more rural areas.
- Economic Uncertainty is a Wild Card: Broader economic conditions could sway the market either way, affecting buyer confidence and affordability.
Market Breakdown by Home Type
Detached Single-Family Homes
| Metric | February 2025 | Change (YoY) |
|---|---|---|
| Median Price | $450,000 | +4.7% |
| Closed Sales | 7,154 | -2.9% |
| New Listings | 9,431 | -10.7% |
| Median Days on Market | 19 days | +2 days |
Townhomes
| Metric | February 2025 | Change (YoY) |
|---|---|---|
| Median Price | $335,765 | +6.6% |
| Closed Sales | 4,007 | -5.7% |
| New Listings | 5,807 | -8.0% |
| Median Days on Market | 19 days | +3 days |
Condos
| Metric | February 2025 | Change (YoY) |
|---|---|---|
| Median Price | $353,000 | +5.4% (Record High) |
| Closed Sales | 1,593 | -7.1% |
| New Listings | 2,555 | +3.5% |
| Median Days on Market | 21 days | +6 days |
Local Market Highlights
| Region | Closed Sales | Median Price | Days on Market |
|---|---|---|---|
| Philadelphia Metro | 3,577 (-2.7%) | $365,500 (+7.5%) | 23 days (+3) |
| Baltimore Metro | 1,868 (-2.8%) | $372,250 (+3.4%) | 18 days (+2) |
| Washington, D.C. Metro | 2,956 (-4.1%) | $597,000 (+6.6%) | 11 days (+1) |
| Central Pennsylvania | 1,553 (-4.0%) | $280,000 (+7.2%) | 15 days (+2) |
| MD/WV Panhandle | 465 (-4.3%) | $304,995 (-0.4%) | 29 days (+6) |
Looking Ahead
- Spring Could Bring a Turnaround: As mortgage rates stabilize, expect more market activity, but be ready for sudden changes.
- Opportunities for Buyers: More inventory and longer listing times give buyers an edge to negotiate.
- Sellers Should Be Strategic: Competitive pricing and home prep will be key to standing out.
The market is dynamic, and while some trends are promising, staying informed is the best strategy for success. For more detailed insights, visit brightmls.com/research.
