By Thomas Carroll, REALTOR®
August housing data is out, and it is interesting to see! Year over year, the median home price is up by 4% in Maryland. This is not the high-flying number we’ve gotten used to seeing over the past two years, but it is more in line with historic norms. Where we are seeing extreme numbers is in units sold and new listings. Year over year for the month of August, units sold was down by 24.1% and new listings also fell by 24.8%! So, while we are seeing a sharp drop in demand reflected by units sold, we are also witnessing supply contract which is reflected by the drop in new listings. Supply dropping in line with demand is why we have not seen a year over year price decrease.
What we are seeing though, is that sellers are absolutely more willing to negotiate. The days of no inspections, waiving appraisal contingencies and free rentbacks are over. We are not seeing sellers give significant ground in their list price, but seller credits have come back with a vengeance. This is great for buyers, especially if they are looking to buy down their interest rate.
While the market has become more balanced, we are still looking at a pretty strong sellers’ market with the average days on market in Maryland sitting right around 20, which is historically very low. However, the balance of power does seem to be continually shifting in favor of home buyers. So, if you are someone you know are looking to buy or sell, I would love to hear from you. Contact me today and we’ll get started on planning your next move!