Another mixed performance for the Baltimore Metro market in August

Mild increase in closed sales; Prices dip slightly from last year

OVERVIEW

The housing market in the Baltimore Metro Area continued its mixed performance in August.  The number of closed sales increased 1.1 percent from last year, driven by townhomes, which were the only property segment with sales growth.  The number of new pending contracts also increased, rising 7.7 percent from last August.  Every property segment had gains in new pending contracts.  But the median sales price decreased 2.8 percent from August 2013, with declines for all property segments.  This is the second consecutive month of year-over-year declines in the median sales price and the first time in nearly three years for every property segment to decline.  The number of homes for sale continues to rise and active listings increased 24.0 percent from last year, but only reached 69 percent of their peak-level.  New listings continue to contribute to this increase and have now risen from the prior year for 17 consecutive months.

Click here to view PDF version of this report

CLOSED SALES

Modest increase in closed sales driven by townhomes.  In August, there were 2,836 closed sales in the Baltimore Metro Region, which is 1.1 percent, or 31 sales, more than last year.  This is the highest August-level of sales since 2007.  The increase in closed sales was driven by townhome sales, which were the only property segment to increase.   Closed sales for townhomes rose 4.4 percent, or by 40 sales.  At 1,554, the number of single-family home sales decreased by 1 sale, or 0.1 percent, from last August.  Sales for condo properties decreased 2.4 percent, or by 8 sales, from last August.  As compared to last month, the number of sales decreased 3.7 percent, which is a sharper decrease than the 10-year average July to August change of -1.3 percent. 

PRICES

Decrease in median across all property segments.  At $245,000, the median sales price in the Baltimore Metro Region was $7,000, or 2.8 percent, lower than last year.  However, the median sales price was higher than its August-levels in 2010, 2011 and 2012.  All property segments had a lower median sales price than last year.  Condo properties had the sharpest decline and fell 7.3 percent, or by $15,000.  The median sales price for townhome properties decreased 6.7 percent, or by $13,000, from last August.  At $318,000, the median sales price for single-family detached homes decreased 2.2 percent, or by $7,000. 

Harford County had the highest increase in median sales price, rising 17.5 percent from last year.  The only other jurisdiction in the region to have a higher median sales price than last August was Anne Arundel County, which increased by 0.2 percent. Baltimore City has seen the largest decrease in year-to-date median prices, down 4.0 percent compared to the same period last year. A 33 percent increase in foreclosure sales has contributed to this decrease in Baltimore City.

NEW CONTRACTS

Highest August-level since 2005; gains for all property segments.  There were 3,145 new contracts in August, 7.7 percent, or 226 contracts more than last year.  This is the highest August-level in nine years and the third consecutive month with a year-over-year increase.  New contracts for townhomes increased 10.8 percent, or by 112 contracts, and led the property segments in growth.  New contracts for single-family detached homes increased 6.3 percent, or by 96 contracts, from last August, while those for condo properties increased 4.9 percent, or by 18 contracts.  As compared to last month, new contracts decreased 8.1 percent, and fell more sharply than the ten-year average July to August change of -4.7 percent.

INVENTORY

11^th month of year-over-year gains in active listings, highest August-level of new listings since 2007.  Active listings in the region increased 24.0 percent, or by 2,694 listings, from last August to 13,940 listings.  This is the 11^th consecutive month of year-over-year increases and the highest level of any month in nearly three years.  Despite this increase, active listings are 31.0 percent lower than their July 2008 peak.  Active listings for single-family detached homes had the strongest growth, rising 26.8 percent, or by 1,791 listings, from last August.  Listings for townhomes increased 21.6 percent, or by 763 listings, from last year, while those for condo properties increased 13.4 percent or by 138 listings.

New listings continue to contribute to the rising inventory and have increased from the prior year for 17 consecutive months.  There were 4,435 new listings in August, 8.9 percent, or 363 listings more than last August.  This is the highest August-level for new listings since 2007.  Single-family detached homes led all property segments in growth, rising 11.7 percent, or by 261 listings, from last year.  New listings for townhomes increased 6.5 percent, or by 93 listings, from last August.  Those for condo properties increased 2.2 percent, or by 9 listings, as compared to last year.  At 38 days, the median-days-on-market rose by seven days from last August.  While this is the sixth year-over-year increase in a row, it remains lower than its 10-year average August-level of 48 days.

###

About the RBI Metro Housing Market Update

The Baltimore Metro Area Housing Market Update provides unique insights into the state of the current housing market by measuring the number of new pending sales, trends by home characteristics, and key indicators through the most recent month compiled directly from Multiple Listing Service (MLS) data in RBI’s proprietary database. The bulk of this report’s content is readily available, down to the ZIP code level of granularity, via interactive charts and reports offered via SmartCharts Pro, a premium subscription service offered to real estate professionals interested in growing their business with the help of industry-leading and user-friendly analytics. The Baltimore Metro Area housing market includes the City of Baltimore, Anne Arundel County, Baltimore County, Carroll County, Harford County and Howard County in Maryland.

About RealEstate Business Intelligence, LLC

RealEstate Business Intelligence, LLC (RBI) is a primary source of real estate data, analytics and business intelligence for real estate professionals with business interests in the Mid-Atlantic region. The full monthly data report for all jurisdictions in the MRIS region, along with interactive charts and graphics, can be found at www.getsmartcharts.com/statistics. RBI is the only company in the Mid-Atlantic region that provides timely, online access to statistical information directly from the MRIS Multiple Listing Service (MLS). Visit rbintel.com or www.facebook.com/rbintel to learn more.

About the Center for Regional Analysis at George Mason University

The Center for Regional Analysis conducts research and analytical studies on economic, fiscal, demographic, housing, and social and policy issues related to the current and future growth of the Virginia, Maryland, and DC areas. Through its range of research and programs — major economic impact studies, economic forecasts, fiscal analyses, conferences and seminars, publications, information services, and data products — the Center’s activities strengthen decision-making by businesses, governments, and institutions throughout the Greater Washington region.  Visit http://cra.gmu.edu to learn more.