What is the Home Demand Index?
The Home Demand Index (HDI) is the nation’s only local housing market index that tracks pre-sale activity to measure housing market competitiveness. The HDI uses data on pre-sale activities, including in-person showings of homes and views of homes online, to measure housing market activity across different geographies and types of homes. The data used to construct the HDI are the most accurate and up-to-date information from the real estate agents and prospective buyers and sellers that are active in the market.
While most housing market indices are based on history, the HDI provides forward-looking insights to real estate professionals and consumers to help make better decisions in a rapidly changing real estate market
Greater Metropolitan Market Areas
The Bright MLS |T3 Home Demand Index currently covers the three greater metropolitan market areas served by Bright MLS, namely the Greater Philadelphia Area (in blue), the Greater Washington D.C. Area (in gray), and the Greater Baltimore Area (in orange).
Colors are provided for visual identification of each market area and do not correlate to index activity level. Make a selection on the map to go to the report for a market area or view an overview of each market area here..
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | October 2025
Home Demand Index
The Home Demand Index (HDI) for the Washington D.C. metro area is at 92 in the latest report, up from 88 last month. This month-over-month increase breaks a five-month streak of consecutive declines, suggesting a potential stabilization in buyer activity. Compared with last year’s index of 88, demand remains slightly stronger, reflecting a modest improvement over the same period. The market continues to be categorized as Steady, indicating balanced conditions after a period of slower activity.
Buyer demand in Washington D.C. is trending upward this month, with most home types showing growth. Luxury condos saw the largest gain, up 24% from last month, while luxury single-family homes rose 18%. Townhouses increased 6%, mid-range single-family homes grew 4%, and entry-level condos edged up 1%. Entry-level single-family homes remained flat. Overall, higher-end segments are seeing stronger demand, while entry-level markets remain steady, highlighting continued buyer interest amid seasonal shifts and limited inventory.
Monthly Statistics for October 2025
Home Demand
Index
Index
92
(Steady)
Home Demand Index
from prior month
from prior month
88
Home Demand Index
from prior year
from prior year
88
Index change
from prior month
from prior month
4.5%
Index change from
same time last year
same time last year
4.5%
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | October 2025
Home Demand Index
The Home Demand Index (HDI) for the Philadelphia metro area stands at 82 in the current report, representing a slight increase from 79 last month but unchanged from the same period last year. This modest month-over-month uptick suggests a stabilizing trend in buyer activity, potentially reflecting the typical post-summer market rebalancing. While demand levels are not accelerating, they remain consistent with last year’s pace, indicating that the broader market is holding steady despite ongoing affordability pressures and inventory limitations.
Buyer demand across home types in Philadelphia shows mixed results this period. The index for entry-level single-family homes edged down slightly to 81 from 83 last month but remains above last year’s 81, indicating sustained though slow activity in the more affordable tier. Mid-range single-family homes recorded 74, down from 73 last month and just below last year’s 75, suggesting modest softening as affordability pressures temper move-up buyer activity. Luxury single-family homes rose to 68 from 58 but remain below last year’s 74, while entry-level condos climbed to 104 from 99, and luxury condos jumped to 121 from 104, both above last year. Townhouses increased slightly to 90 from 86, matching last year’s level. Overall, demand is steady but cautious, with stronger activity in condos and luxury segments.
Monthly Statistics for October 2025
Home Demand
Index
Index
82
(Slow)
Home Demand Index
from prior month
from prior month
79
Home Demand Index
from prior year
from prior year
82
Index change
from prior month
from prior month
3.8%
Index change from
same time last year
same time last year
0%
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Baltimore | October 2025
Home Demand Index
The Home Demand Index (HDI) for the Baltimore metro area stands at 87 for this report period, marking a decrease from 89 last month and matching the 87 recorded during the same period last year. This consistency on a year-over-year basis indicates a stable but subdued level of buyer activity, keeping the market within the Slow demand range. The month-over-month decline points to typical seasonal cooling and continued affordability challenges, as higher borrowing costs and limited supply temper buyer engagement.
Demand by home type in Baltimore has softened slightly this period. Entry-level single-family homes recorded a Home Demand Index (HDI) of 73, down from 74 last month and below last year’s 79, signaling continued affordability challenges for first-time buyers. Mid-range single-family homes declined to 86 from 89 last month but remain close to last year’s 87, indicating steady interest among move-up buyers. Luxury single-family homes held at 103, remaining well above last year’s 90, reflecting ongoing engagement from affluent purchasers despite some cooling momentum. Entry-level condos posted an HDI of 105, down from 114 but still above 103 a year ago, while luxury condos eased slightly to 162 from 157 yet remain notably strong. Townhouses declined to 89 from 91, just below last year’s level, suggesting moderate cooling in attached-home demand.
Monthly Statistics for October 2025
Home Demand
Index
Index
87
(Slow)
Home Demand Index
from prior month
from prior month
89
Home Demand Index
from prior year
from prior year
87
Index change
from prior month
from prior month
-2.2%
Index change from
same time last year
same time last year
0%
Bright MLS | T3 Home Demand Index
www.homedemandindex.com