The burning question: what in the world is going on with Maryland Real Estate right now?
A LOT. We started this quarter with a series of unknowns and policy changes for the logistics of showing houses; one would think things would slow down but this market has been resilient. Better yet, this market has been intense. Sales-pitch aside, friend-to-friend, it is still a good time to buy and sell if you can be flexible and patient for the right one.
Inventory is still at an all-time low (meaning there are about 12 buyers for each home listed) but the interest rates have steadily remained at all-time lows as well. At the beginning of the April they were swinging harshly, depending on which week you locked your rate, it could vary by a 1.5%, but that leveled out. Homes are moving faster and closing higher than asking price, all while being limited to 15 minute window showings and only 3 adults (with masks).
It’s a good time to call me if you…
- are curious about how covid has impacted the value of your home
- want to move before the end of 2020
- know someone starting the process who wants house hunting to be a fun experience
- have been reading about the low interest rates and want to know what is true
*The information below comes directly from the Bright MLS closed sales data that I personally researched. My opinions based on my experience opening 129 doors between April, May and June are scattered throughout. I am always here for follow up questions!
Small jump in values
The highest sale in this county closed at $3,750,000. A waterfront mansion overlooking the Naval Academy. In comparison to Q2 2019, the median sale price was $364k, average days on market was 43 and closer to 2900 units sold. We saw an inventory shortage here especially. Out of my 3 buyers that settle in AACO this quarter, all of them closed higher than asking price.
Markets to watch here: Gambrills, Crofton & Pasadena all saw significant growth in both number of sold listings and median closed sale prices.
This city was the only place I truly felt was immune to the inventory shortage we saw everywhere else. I had a handful of buyers here this quarter and all but one got their closing costs completely covered. Highest median sale markets are not a shock to me: Harbor East, Silo Point, Homeland, Canton and Roland Park to name a few.
Markets to watch here: Pigtown, Arcadia and Reservoir Hill are all having very good years with strong Q2 median sale leaps from 2019’s numbers.
Oh Catonsville (insert heart eyes here)
The BC section of Ellicott City reigns as the champion of total units moved so far this year. In general, the amount of sales is down roughly 30% here and it isn’t because things are ‘slow’. I had a few buyers start their search in Catonsville and all ended elsewhere- the average DOM (days on market) was just shy of two weeks in 21228.
Markets to watch here: Middle River, Towson and Perry Hall all had higher % closed growth than the county average of 6.3%. But Catonsville has truly become one of the harder markets to get into.
Best of luck with that.
But really…I was outbid seven times with one client here this quarter. Howard Co homes this quarter needed a contract written above asking, no closing, as-is the day it hits the MLS. Specifically at the $300-$400 price point in Q2. Columbia and Jessup both have average DOM under two weeks and Columbia has the highest number of new listings in the County.
Markets to watch here: Savage, Columbia and Laurel all have strong list price – close price ratios and more inventory than most places at more moderate prices. If you can get your foot into Clarksville, definitely do that.
COVID had an impact
Montgomery Co was an area sheltering in place longer than most and I feel that the restrictions with proximity to DC had a bigger impact on the market. They still reing with the highest sales price around, so don’t feel too bad. We all know, Montgomery County will rebound with full force- those luxury homes in Potomac aren’t going to sell themselves! They saw nominal growth from last June, roughly 0.2%
Markets to watch here: Poolesville, Beltsville and Gaithersburg were the areas that have seen consistent growth from the new year through Q2 in close price.
Lots of green percentages here
Looking at the break down across the county all but two designated cities in the county saw growth in median closed sales prices. Bravo PG! The county has experienced 10.7% increase in closed sales price this year. The smallest purchase was a 1 room apartment for $49,000 and the highest sale was $900k for an enormous rancher in need of updates.
Markets to watch here: Takoma Park, Brandywine were consistent in their highest average sales price BUT Bladensburg has seen 34.7% YTD average sales price growth ($270k).
So you scrolled to the bottom for a synopsis…
- Inventory is low except in Baltimore City
- You need to be mentally prepared to pay over-list price in Howard County and parts of Anne Arundel County
- It is still a great time to buy with rates being low
- Caveat to the above…it is a great time to sell since there is a lot of leverage on the listing side
- I am still here, happy as ever to have my own business with great people like YOU