Bright MLS Reports Mid-Atlantic Sees More Buyers as Mortgage Rates Fall
The Mid-Atlantic housing market is experiencing a notable uptick in buyer activity, as reported by Bright MLS. This surge is attributed to a decline in mortgage rates and an increase in housing inventory. The Bright MLS Housing Report for September highlights a significant rise in new pending sales, totaling 19,945, which marks a 10.3% increase from the previous year. This marks the eighth consecutive month of growth in pending listings, largely driven by mortgage rates dropping to the lower 6% range.
Dr. Lisa Sturtevant, Chief Economist at Bright MLS, notes that many prospective homebuyers have been waiting for mortgage rates to decrease. The recent drop has spurred both buyers and sellers to engage in the market, suggesting a busy fourth quarter ahead. The reduction in mortgage rates translates to a savings of approximately $300 on the monthly payment for a median-priced home in the region.
Additionally, the report indicates an increase in active listings, with a total of 38,205 at the end of September, up 16.8% from the previous year. Despite this growth, the overall inventory remains just over half of what it was in 2019. The median home price has decreased from the summer peak to $410,000, yet it remains 6.4% higher than last September. Market conditions have eased compared to last year, with the median days on the market falling from 13 to 4, indicating a more competitive environment than the pre-pandemic market, where the median was 25 days.
The report anticipates a strong finish to 2024, with the market expected to wrap up stronger than in 2023. However, affordability challenges persist for some buyers, with prices projected to continue rising. More affordable markets may attract increased buyer interest compared to more expensive regions. For a comprehensive analysis, including data from major metro areas, the full report is available.
