Philadelphia Metro

December 2025 | 
Home Demand Index: 62 | 
Tier: Limited

Metro Area Overview

The Home Demand Index (HDI) for the Philadelphia metro area is 62 this report period, down from 81 last month, signaling a clear month-over-month cooling in buyer activity. Demand is also below last year’s reading of 70, indicating softer conditions on an annual basis. With the index now in a slower range, overall market momentum appears to be easing as buyers remain cautious.
The market trend line, below, provides a high-level monthly overview of the Home Demand Index for each of the metro market areas within the Greater Philadelphia Metro Area. The Home Demand Index is baselined at 100, with 90-110 indicating a steady market. Index values above 110 indicate moderate and high activity while Index values below 90 indicate slower or limited activity. For more information for a given period of time, click on any point on the map to pull up the monthly report.
Metro Market Trend Data by Bright MLS | T3 Home Demand Index
Each of the market areas listed above are defined as follows:
  • Central Pennsylvania – Adams, PA; Berks, PA; Cumberland, PA; Dauphin, PA; Franklin, PA; Fulton, PA; Lancaster, PA; Lebanon, PA; Perry, PA; Schuylkill, PA; York, PA;
  • Ocean County – Ocean, NJ;
  • Philadelphia Metro – Bucks, PA; Burlington, NJ; Camden, NJ; Chester, PA; Delaware, PA; Gloucester, NJ; Kent, DE; Mercer, NJ; Montgomery, PA; New Castle, DE; Philadelphia, PA;
  • Salem-Cumberland – Cumberland, NJ; Salem, NJ;

Philadelphia | December 2025

Home Demand Index

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The Home Demand Index (HDI) for the Philadelphia metro area is 62 this report period, down from 81 last month, signaling a clear month-over-month cooling in buyer activity. Demand is also below last year’s reading of 70, indicating softer conditions on an annual basis. With the index now in a slower range, overall market momentum appears to be easing as buyers remain cautious.
Demand by home type in Philadelphia shows growing divergence this period, led by a meaningful step-down in entry-level single-family activity from last month. Entry-level single-family demand is now lower than both last month and last year, indicating affordability is no longer providing the same level of support as it did earlier in 2025. Mid-range single-family metrics appear highly volatile in the provided data, but the broader pattern suggests a market where move-up demand is softer and increasingly dependent on limited, well-priced inventory. Luxury single-family homes are also seeing weaker demand, while lower-priced condos are slowing and higher-priced condos are holding relatively steadier. Townhomes, rowhouses, and twins continue to experience a moderate slowdown, consistent with broader trends across the market.
Monthly Statistics for December 2025
Home Demand
Index
62
(Limited)
Home Demand Index
from prior month
81
Home Demand Index
from prior year
70
Index change
from prior month
-23.5%
Index change from
same time last year
-11.4%
Bright MLS | T3 Home Demand Index

www.homedemandindex.com