Maryland Real Estate Prices Plateau
According to data from the Bright MLS, which serves all of Maryland, and reports compiled by the Maryland Association of Realtors, real estate prices have plateaued in Maryland.
If you were waiting for the market to peak before you put your house on the market, then that time may have arrived.
With mortgage interest rates doubling over the last year, inflation remaining much higher than anyone would like, an extremely volatile oil market, and with a potential recession brewing, potential buyers of real estate have been hesitant to enter the market.
The appreciation of 8 to 11 percent, that was seen over each of the last three years, has leveled off.
One major stressor that is preventing a drastic decline in prices is that, even though fewer homes are being sold, even fewer homes are being put on the market, so inventory is still low, which, per supply and demand theory, keeps prices higher.
If you are a seller who wishes to take advantage of this peak in prices, then, in a slow market, you will need to provide incentives to make your property stand out in this market.
Here are some thoughts to consider if you are going to place your home on the market.
Your home should be clean, decluttered, and nicely staged.
Since it is the fast-growing season of spring, remember to keep your lawn and shrubbery neatly trimmed.
It may be worthwhile to have your home pre-inspected and any issues addressed before placing the home on the market.
Look at possible financial incentives such as offering closing help, paying buyer's points to reduce their interest rate, determining if your loan (if it has a low interest rate) can be assumed by the buyer, and so on.
Be prepared to be flexible so that you can address any buyer's desires.
Here are some statistics:
For Maryland:
March of 2023:
Average Price: $444,752 (+0.7% Change since prior year)
Median Price: $380,000 (+1.2%)
Units Sold: 5,709 (-24.79%)
New Listings: 6,855 (-33.9)
March of 2022:
Average Price: $441,766 (+8.0% Change since prior year)
Median Price: $375,500 (+8.7%)
Units Sold: 7,860 (-8.0%)
New Listings: 10,377 (-5.4%)
March of 2021:
Average Price: $406,070 (+11.3% Change since prior year)
Median Price: $345,000 (+8.7%)
Units Sold: 7,964 (+11.4%)
New Listings: 10,970 (+5.1%)
March of 2020:
Average Price: $361,710 (9.3% Change since prior year)
Median Price: $312,000 (8.9%)
Units Sold: 6,822 (+2.5%)
March of 2019:
Average Price: $326,489 (-0.1% Change since prior year)
Median Price: $285,000 (3.6%)
Units Sold: 5,876 (-10.3%)
Since 2019 Maryland real estate has appreciated by 40.6%. If you were to sell your home for less than that appreciated amount, would you really be losing money?
Contact Ron Trzcinski of Sachs Realty at 410-935-5844 for more information.
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