Maryland Housing Market Analysis - August 2024

The Maryland housing market in August 2024 presents a interesting picture, reflecting both challenges and opportunities for buyers and sellers. The data indicates several key trends that are shaping the current real estate landscape in the state.

Median Sales and List Prices

The Median Sales Price in Maryland stands at $436,500, which represents a 2.1% decrease year-over-year (YoY). This decline suggests a slight cooling in the market, potentially offering more favorable conditions for buyers. Conversely, the Median List Price is $422,500, showing a modest decrease of 0.7% YoY. This smaller decline in list prices compared to sales prices may indicate that sellers are adjusting their expectations in response to market conditions.

Price Per Square Foot

Despite the overall decrease in median prices, the median Price Per Square Foot has increased by 2.9% YoY to $223. Similarly, the Median List Price per square foot has risen by 4.3% YoY to $224. These increases suggest that while overall prices may be softening, the value of homes on a per-square-foot basis is appreciating, reflecting a demand for quality and efficient use of space.

Sales and Inventory

The number of Homes Sold in August 2024 is 6,129, marking a 4.1% decrease YoY. Pending Sales also show a decline of 2.4% YoY, totaling 6,515. However, New Listings have increased by 2.0% YoY to 6,875, indicating that more homeowners are entering the market. Inventory levels have surged by 14.7% YoY to 11,373, providing buyers with more options and potentially easing competitive pressures.

Market Dynamics

The Months of Supply, a critical indicator of market balance, has increased by 30.0% YoY to 1.9 months. This significant rise suggests a shift towards a more balanced market, moving away from the seller-dominated conditions seen in previous years. The Median Days on Market have increased by 5.0% YoY to 28 days, indicating that homes are taking slightly longer to sell.

Sale to List Ratios and Price Adjustments

The average sale to list ratio is 100.5%, down by 0.7% YoY, suggesting that homes are selling very close to their list prices. The percentage of Homes Sold above list price has decreased by 4.2% YoY to 41.7%, reflecting a reduction in bidding wars. Additionally, Price Drops have increased by 2.7% YoY to 29.8%, indicating that sellers are more frequently adjusting their prices to attract buyers.

Off-Market Trends

The percentage of homes going off-market within two weeks has decreased by 5.9% YoY to 49.6%. This decline suggests that homes are not selling as quickly as they were in the previous year, further supporting the trend towards a more balanced market.

In summary, the Maryland housing market in August 2024 is characterized by a slight decline in median prices, increased inventory, and longer selling times. These trends point towards a market that is gradually shifting from a seller's market to a more balanced environment, offering potential opportunities for both buyers and sellers.