Market Update Fleur Howgill November 21, 2023
Washington, D.C., metro area buyers have been persistent in the face of rising prices and elevated mortgage rates, according to the latest monthly report from Bright MLS.
Even with interest rates near 8%, homes are still selling very quickly in our area. The median days on the market in October was nine, which is nearly a week faster than last October.
Median prices in October reached $568,000 – 3.3% higher than a year ago and also 3.3% higher than a month ago. In fact, home prices have been up year-over-year for the last five consecutive months.
New listings remain limited. There were 4,460 new listings coming onto the market in October, down 20.3% compared to last year. New listing activity was also down from September.
According to the Bright MLS T3 Home Demand Index (HDI), demand in the Washington metro is still Limited. The HDI of 57 is an improvement over last month, it is a lackluster score compared to last November when HDI (91) pointed to Steady conditions.
There were 3,559 closed sales in the Washington D.C., metro during the month of October. Sales are 12.5% lower than last year; however, the year-over-year difference has been narrowing. Detached homes saw the largest decrease from last year by 15.7%. Sales were down seasonally by 4.4% between September and October.
There were 6,885 active listings at the end of October, which is down 13.7% from last year. Inventory declined across all housing types, but condos saw the smallest decrease (-7.6%). Inventory expanded between September and October, up 3.6% from month-to-month.
Median Sales Price
The median sale price in the D.C. metro was $568,000 in October, up 3.3% from this time last year, which is the fifth consecutive month of year-over-year increases. The median sale price also increased 3.3% between September and October, counter to typical seasonal trends in which prices dip in the fall.
Days on Market
The median days on market is down from last year for the third month in a row. The median days on market was nine in October, nearly a week faster than last October. From last month, the median days on market was flat overall, although the median days on market for attached homes increased by two days.
According to Bright MLS, “Despite high home prices and persistently elevated mortgage rates, some buyers will persevere in the final months of 2023. Others will decide to wait until spring, hoping for lower rates and more inventory. Prospective buyers who are in the market this winter should expect some relief, as price appreciation is slowing.
While inventory should increase modestly over the winter, supply will remain low and there are still more buyers than sellers. Attractive, well-priced properties will sell quickly. Expect mortgage rates to begin to come down in early 2024, though they will remain well above 6%. Consumers will reset their expectations, and as rates move lower, there will be both more buyers and more sellers in the market, suggesting an active spring market.”
If you are ready to take advantage of this historically low inventory and want to sell your home quickly and for the very best price, contact Fleur or Veronique to get started.
Sotheby’s International Realty®️ and the Sotheby’s International Realty Logo are service marks licensed to Sotheby’s International Realty Affiliates LLC and used with permission. TTR Sotheby’s International Realty fully supports the principles of the Fair Housing Act and the Equal Opportunity Act. Each office is independently owned and operated. Any services or products provided by independently owned and operated franchisees are not provided by, affiliated with or related to Sotheby’s International Realty Affiliates LLC nor any of its affiliated companies.
Stay up to date on the latest real estate trends.
Fleur and Veronique's passion for travel has significantly enriched their understanding of diverse cultures and unique requirements. Their personal experience as expatriates further enhances their ability to cater to the needs of an international clientele seeking insight into life in Washington DC. Fleur's remarkable history of achievements serves as a testament to her expertise. Don't hesitate to contact Fleur's team to discover more about how they can assist you!