Housing market trends Archives - Real Estate News and Commentary

September 26, 2025September 26, 2025

The Fall and Winter Housing Market

What Maryland Home Sellers and Buyers Should Watch for in the Fall and Winter Housing Market

As the weather cools down, the Maryland housing market is shifting too. The fall and winter housing market typically changes. However, this year has a unique trend that’s guiding home buyer and seller decisions. Here’s what buyers and sellers should keep an eye on as 2025 winds down.

For Home Sellers

More Homes on the Market: There has been a noticeable increase in inventory this year, not just in Maryland but in other regions as well. That means buyers have more options, and homes may take longer to sell. If you’re listing your home, smart pricing and strong presentation are more important than ever.
Buyers Watching Their Wallets: With interest rates and economic uncertainty on their minds, buyers are still cautious. Highlighting the real value of your home, like energy-efficient systems, updated features, or flexible spaces, can help it stand out.
Seasonal Slowdown: It’s normal for buyer activity to taper off around the holidays. But don’t mistake fewer showings for lack of interest. The buyers who are active in November and December tend to be serious and ready to move.

For Home Buyers

More Choices, More Time: Compared to the past few years, Maryland buyers are seeing more homes available. Properties are staying on the market longer, giving buyers a little breathing room to shop and negotiate.
Mortgage Rates Moving in Your Favor: According to Freddie Mac, mortgage rates have recently moved down significantly and are now below the historical average of about 7%. Even a small dip in rates can make a noticeable difference in your monthly payment. Buyers who stay engaged this fall could lock in financing that feels far more manageable than it did just a few months ago.
Motivated Sellers: Homes that linger through the fall often lead to opportunities. Sellers may be more open to negotiating on price, covering closing costs, or making repairs, especially if they want to start fresh in the new year.
Less Competition During Holidays: The holiday season tends to thin out the buyer pool. That means fewer bidding wars and more negotiating power for the buyers who stay active. While others pause their search, you could find the right home at the right price, and avoid the spring rush.

Keep an Eye on the Economy

Across Maryland, housing is closely tied to jobs and affordability. Federal workforce changes in the D.C. metro area, affordability challenges, and efforts to speed up new housing construction are all factors to watch. These dynamics could influence demand and pricing over into the next year.

The Bottom Line

Like most of the country, the Maryland housing market cooled from the frenzy of the past few years, but homes are still selling and opportunities are out there. Sellers should focus on competitive pricing and presentation, while buyers can benefit from increased inventory, seasonal advantages, and better mortgage rates.

The fall and winter housing market does slow down, but it’s a time when motivated buyers and sellers are active. Whether you’re buying or selling, stay informed, set realistic expectations, and make decisions with your long-term goals in mind.

What’s your home worth?

By Dan Krell

Disclaimer. This article is not intended to provide nor should it be relied upon for legal and financial advice. Readers should not rely solely on the information contained herein, as it does not purport to be comprehensive or render specific advice. Readers should consult with an attorney regarding local real estate laws and customs as they vary by state and jurisdiction. Using this article without permission is a violation of copyright laws.

July 18, 2025July 18, 2025

Market Slowing Down – What this means

Is the Housing Market Slowing Down? What That Means for You

The red flags are waving and there’s whispers of on the streets: the housing market may be cooling. After years of dizzying climbs, bidding wars, and sight-unseen offers, the pace is finally easing. But is this truly a slowdown, a healthy reset, or just a pause?

Signs of a Changing Housing Market

In many parts of the country, homes are taking longer to sell. Days on market are ticking up, price cuts are becoming more common, and buyers, once frantic, are now cautious, weighing rising mortgage costs against the fear of overpaying.

But it’s important to see this in context. After the frenzied, almost feverish market of the past few years, what we’re witnessing might simply be a return to normal. A market slowing down, where buyers can pause to breathe, sellers may need to be realistic, and negotiation, once a lost art, becomes relevant again.

What This Means for Buyers

If you’re a buyer who’s been sidelined by steep prices and stiff competition, this shift could finally open the door. You may see fewer bidding wars and more opportunities to inspect, deliberate, and perhaps even negotiate on price or repairs. Still, with rates holding steady at higher levels, smart budgeting remains crucial.

What This Means for Sellers

For sellers, it’s a gentle reminder that strategy matters. Pricing your home based on hopeful headlines from last year may lead to longer waits and inevitable reductions. The silver lining? Serious buyers are still out there. Homes that show well and are priced right continue to move, just perhaps not in a weekend.

A Balanced Perspective

Markets evolve and are cyclical. What matters most is having a plan tailored to today’s conditions, not last year’s headlines. Whether buying or selling, working with an agent who understands these subtle shifts can make all the difference, helping you navigate this nuanced new landscape with confidence.

Thinking of making a move? Have a meaningful conversation with your agent about your local market, and what this “slowdown” really means for you.

By Dan Krell
Copyright © 2025

What’s your home worth?

May 20, 2025May 20, 2025

A Shifting Landscape

April 2025 Housing Market Report: A Shifting Landscape in Maryland-DC

The April 2025 housing market across the Maryland and DC Metro region paints a portrait of contradiction: inventory surged, buyer activity softened, and yet home prices pressed higher into record territory. This complex dynamic reflects a shifting landscape influenced by economic turbulence, workforce reductions, and a widespread push for return-to-office policies.

As the spring market unfolds, buyers and sellers find themselves navigating unfamiliar territory, where more choices and longer market times coexist with rising prices and regional volatility.

Inventory Surge: A Turning Point for Supply

The most defining trend of April was a nearly 50% year-over-year increase in active listings. With many more homes on the market by month’s end, buyers suddenly have options that were virtually nonexistent in the hyper-competitive climate of recent years. This expansion of supply is largely attributed to broader economic pressures and job-related relocations.

This dramatic uptick in inventory has begun to reshape the negotiation landscape, subtly shifting leverage away from sellers,though not enough to bring prices down just yet.

Persistent Caution

Despite the newfound abundance of homes, buyer enthusiasm has tempered. New pending sales were down 6.6% from April 2024, revealing that elevated mortgage rates, job insecurity, and broader market hesitancy are suppressing demand.

Prices Press Higher

In what may seem counterintuitive, median home prices hit a new record in April. The regional median reached $655,215,up 2.4% year-over-year,underscoring how limited housing availability in prior years continues to ripple through pricing.

This resilience signals that while demand has softened, sellers are still commanding strong prices,especially in premium or well-located properties.

Time on Market & Months of Supply: A Market in Transition

Homes are lingering slightly longer: the median days on market ticked up by 1 day overall, with condos seeing the most pronounced slowdown (+4 days). Correspondingly, months of supply increased to 2.36, up 0.74 months year-over-year,signaling movement toward a more balanced market.

While these numbers remain seller-friendly by historical standards, they mark a shift from the frantic pace of the past three years.

What It All Means

The April 2025 data reflects a housing market rebalancing rather than retreating. Inventory is rising, giving buyers breathing room. Prices remain firm, sustained by years of under-supply and cautious sellers. And while economic factors like job security and interest rates weigh heavily, they haven’t yet tipped the scales into a buyer’s market.

Looking Ahead: What to Watch

As we move deeper into the spring and summer selling seasons, several key questions will shape the trajectory of the market:

Will mortgage rates drop meaningfully enough to stimulate buyer demand?
Will the surge in inventory stabilize or continue to grow?
How will job market uncertainty,especially in government-heavy areas,affect buyer behavior?

One thing is clear: in 2025, the Maryland-DC Metro housing market is no longer a sprint. It’s a shifting landscape that requires a strategic game; where timing, property type, and location matter more than ever.

By Dan Krell
Copyright © 2025

Homes for sale.

November 5, 2022December 13, 2022

Outperforming the housing market

In 2011 I wrote an article exploring the question of outperforming the housing market by attempting to time real estate transactions. The question was then aimed at home buyers and sellers. New research published in the Journal of Real Estate Research reveals more interesting data as it relates to real estate investors.

In my 2011 analysis of research and data, I discussed why attempting to “time the market” as an owner occupant wasn’t very favorable. It appeared as if attempting to time a purchase or sale didn’t yield the desired result. The conclusion was that long term home ownership was probably better than speculating on buying and selling homes on the exact bottom or top of the housing market.

Likewise, home sellers waiting for the housing market to rebound before making a move probably missed an opportunity as well. So, who is outperforming the housing market?

A recent article published by Wong, Deng, and Chau in the Journal of Real Estate Research (Do Short-Term Real Estate Investors Outperform the Market?; 2022, Vol. 44 Issue 2, p287-309) reveals an interesting conclusion.

The study attempted to further look into the incentives of short-term real estate investors, specifically how various market conditions affect short-term real estate investor performance. The study analyzed real estate transaction data from Hong Kong and found that three economic conditions were favorable to the investor’s performance that seem to mimic the current low-inventory market we are experiencing here. The three items that help the investor performance are: 1) having few sale comparables; 2) having sale prices of the comparables dispersed; and 3) market prices go down. The study’s conclusion is that buying and reselling withing three months generates a gross return that is 6 percent above market appreciation. The authors caution that their study is limited such that there are multiple investor strategies that need to be studied as to the effects on short-term real estate investor performance. They describe short-term real estate investors as engaging in arbitrage, which by definition is basically “home flipping.”

By Dan Krell
Copyright © 2022

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October 25, 2022October 25, 2022

Perception of a housing crisis

If you’ve watched the news lately, you might get the feeling that the housing market is imploding. Unfortunately, the talking heads are reporting the titles of the news releases, such as the October 20^th National Association of Realtors press release headline “Existing-Home Sales Decreased 1.5% in September,” without delving into the details. Like anything else that’s reported, just parroting a headline doesn’t tell the entire story. Get the big picture and avert the perception of a housing crisis.

Here are the highlights of the NAR report: “Existing-home sales sagged for the eighth consecutive month to a seasonally adjusted annual rate of 4.71 million. Sales slipped 1.5% from August and 23.8% from the previous year. The median existing-home sales price increased to $384,800, up 8.4% from one year ago. The inventory of unsold existing homes declined for the second straight month to 1.25 million by the end of September, or the equivalent of 3.2 months’ supply at the current monthly sales pace.”

The takeaway is that yes, existing-home sales have been sluggish (eight consecutive months), however does that mean a housing crash? No. Consider the other important data points included in the news release: the median existing-home sale price increased 8.4 percent year-over-year, AND the inventory of unsold homes continues to decrease.

What’s your perception of a housing crisis ? For many, the memories are still fresh of the housing crisis of 2007 and subsequent foreclosure crisis. So, it’s not surprising that the media’s alarms go off when existing-home sales drop as they did recently. However, the fundamentals of today’s housing market are much different than that of 2008-2010. During the housing crisis of 2007, home sale prices plummeted when home sales dropped. Additionally, inventories of unsold homes swelled to record levels.

Today’s housing market is much different and looking at the entire picture, the stats tell a different story than what is being portrayed by the media. NAR Chief Economist Lawrence Yun chalks up the decline in sales to increasing mortgage interest rates, which are approaching the accepted historical average of 7 to 8 percent. He also points out “…Despite weaker sales, multiple offers are still occurring with more than a quarter of homes selling above list price due to limited inventory… The current lack of supply underscores the vast contrast with the previous major market downturn from 2008 to 2010, when inventory levels were four times higher than they are today.”

By Dan Krell
Copyright © 2022