Share report on Facebook!
Share on facebook
Share report on Twitter!
Share on twitter
Share report on LinkedIn!
Share on linkedin
Email a link to this Report!
Share on email
Download tile as an image.

Philadelphia | August 2024

Home Demand Index

The Home Demand Index (HDI) for this report period stands at 80, showing a moderate increase from last month’s 75 but still below the previous year’s 86. This trend suggests a gradual recovery in market demand, though it remains under the levels seen last year, reflecting ongoing adjustments in buyer behavior and economic conditions. The improvement from last month indicates some resilience in the market, despite the year-over-year decline.
In the current report period, demand and inventory levels for most home types in Philadelphia show a recovery from the previous months’ decline. The demand for entry-level single-family homes has shifted from Limited to Slow buyer interest. This change is attributed to an increase in market activity and a slight rise in inventory levels, which have provided more options for buyers. On the other hand, luxury condos remained unchanged, indicating Steady buyer interest in this segment. This stability is likely due to the continued appeal of luxury properties despite broader market fluctuations, combined with relatively stable inventory levels in this high-end segment.
Monthly Statistics for August 2024
Home Demand
Index
80
(Slow)
Home Demand Index
from prior month
75
Home Demand Index
from prior year
86
Index change
from prior month
6.7%
Index change from
same time last year
-7%
Bright MLS | T3 Home Demand Index

www.homedemandindex.com

Download tile as an image.
Embed this tile on your site.

Philadelphia | August 2024

Home Demand Index | Historical Year-over-Year Comparison

The Home Demand Index (HDI) for this report period stands at 80, showing an improvement from last month’s index of 75 but remaining lower than the 86 recorded one year ago. This year-over-year decline highlights a continuing reduction in buyer interest, consistent with broader market trends and economic conditions. However, the recent month-over-month increase suggests a potential stabilization or recovery in buyer activity despite ongoing market challenges.

Home Demand Index

Bright MLS | T3 Home Demand Index

www.homedemandindex.com

Download the top-level Market Areas map as a screenshot.

Embed this tile on your site.

Philadelphia | August 2024

Home Demand Map

As of August 2024, buyer interest in homes was Steady in Montgomery, New Castle, Bucks, Delaware, and Kent counties, while it was Limited in each of the New Jersey counties and Slow in the remaining counties within the metro area. The index showed an increase across all metro areas over the month. Demand remains Steady in the Salem-Cumberland area and shifted from Slow to Steady in Central Pennsylvania. Buyer interest in Ocean County remained Limited. While many areas are experiencing stable or improving buyer interest, some areas, particularly in New Jersey and Ocean County, face challenges that limit buyer engagement. The general upward trend in the metro area indicates a gradual recovery in market conditions, influenced by local economic factors and changing buyer preferences.
Bright MLS | T3 Home Demand Index

www.homedemandindex.com

Download tile as an image.
Embed this tile on your site.

Philadelphia | August 2024

Demand and Inventory by Home Type

In the current report period, demand and inventory levels for most home types in Philadelphia show a recovery from the previous months’ decline. The demand for entry-level single-family homes has shifted from Limited to Slow buyer interest. This change is attributed to an increase in market activity and a slight rise in inventory levels, which have provided more options for buyers. On the other hand, luxury condos remained unchanged, indicating Steady buyer interest in this segment. This stability is likely due to the continued appeal of luxury properties despite broader market fluctuations, combined with relatively stable inventory levels in this high-end segment.
Bright MLS | T3 Home Demand Index

www.homedemandindex.com

Download tile as an image.

Philadelphia | August 2024

Single Family Home Below $330k

The index for single-family homes priced below $330K stands at 73 this month, up from 64 last month but lower than last year’s 85, marking a 14% decrease year-over-year. This increase reflects a shift from Limited to Slow pace of buyer interest in this segment due to ongoing limited availability. The months supply is at 1.7 months. Although inventory has increased, it remains tight. Limited options restrict buyers ability to find suitable properties within their budget, leading to slower market activity.
Monthly Statistics for Single Family Home Below $330k
Home Demand
Index
73
(Slow)
Home Demand Index
from prior month
64
Home Demand Index
from prior year
85
Months of
inventory
1.7
Average daily inventory last month
946
Inventory sold
last month
545
Bright MLS | T3 Home Demand Index

www.homedemandindex.com

Download tile as an image.

Philadelphia | August 2024

Single Family Home $330k - $740k

Homes priced between $330K to $740K show an index of 77, which is a 5% increase over last month’s 73 and 3% lower than the previous year’s 79. While the category remains in the Slow pace, this home segment demonstrates consistent buyer activity throughout the year. This suggests sustained interest from buyers in this price range. The months supply of 1.3 months indicates a relatively tight market with limited inventory. Although inventory has slightly increased from the previous month, this low supply level continues to constrain buyer options and influence market dynamics.
Monthly Statistics for Single Family Home $330k - $740k
Home Demand
Index
77
(Slow)
Home Demand Index
from prior month
73
Home Demand Index
from prior year
79
Months of
Inventory
1.5
Average daily inventory last month
2,926
Inventory sold
last month
1,956
Bright MLS | T3 Home Demand Index

www.homedemandindex.com

Download tile as an image.

Philadelphia | August 2024

Single Family Home Above $740k

For luxury homes priced above $740K, the index has dropped 3% to 73 from last month’s 75. This marks a 6% decrease compared to the index of 78 from the previous year. The decline in the index suggests a weakening in buyer enthusiasm and a potential cooling of demand in the luxury segment. Although inventory has increased, it remains at a low level. The luxury market may be facing challenges due to affordability issues or shifting buyer preferences. This decrease in the index reflects a market where luxury home buyers are more cautious, resulting in a Slow pace of interest.
Monthly Statistics for Single Family Home Above $740k
Home Demand
Index
73
(Slow)
Home Demand Index
from prior month
75
Home Demand Index
from prior year
78
Months of
Inventory
2.2
Average daily inventory last month
1,258
Inventory sold
last month
568
Bright MLS | T3 Home Demand Index

www.homedemandindex.com

Download tile as an image.

Philadelphia | August 2024

Condo Below $395k

The index for entry-level condos priced below $395K increased by 9% to 86, compared to last month’s 79 and the same index from the previous year. This segment remains at a Slow pace of buyer interest. Inventory has increased to 2.7 months, up from 2.4 months last month, and sales rose by 12% compared to the previous month. The increase in the index suggests that growing buyer interest is driving market activity, even though inventory remains relatively tight.
Monthly Statistics for Condo Below $395k
Home Demand
Index
86
(Slow)
Home Demand Index
from prior month
79
Home Demand Index
from prior year
86
Months of
Inventory
2.7
Average daily inventory last month
831
Inventory sold
last month
309
Bright MLS | T3 Home Demand Index

www.homedemandindex.com

This is Tooltip!

Philadelphia | August 2024

Condo Above $395k

Demand for luxury condos priced above $395K increased over the past month, with the index rising by 5% to 104. This maintains a Steady pace of buyer interest. Compared to one year earlier, the index is 1% lower. The months supply has increased from 4.3 months to 4.7 months. The rise in the index suggests a recent uptick in demand, despite the slight year-over-year decline. The increase in the months supply indicates that more luxury condos are becoming available, which may be helping to sustain the Steady pace of interest.
Monthly Statistics for Condo Above $395k
Home Demand
Index
104
(Steady)
Home Demand Index
from prior month
99
Home Demand Index
from prior year
105
Months of
Inventory
4.7
Average daily inventory last month
312
Inventory sold
last month
66
Bright MLS | T3 Home Demand Index

www.homedemandindex.com

This is Tooltip!

Philadelphia | August 2024

Townhouse/Rowhouse/Twin All prices

Townhouse/
Rowhouse/Twin
All prices

The index for townhouse, rowhouse, and twin homes, categorized under ‘All prices,’ increased to 87, up from 80 in the previous month but 8% lower than one year earlier. This segment remains at a Slow pace. The months supply slightly increased to 2.7 months from 2.4 months the previous month. The rise in the index suggests a recent improvement in buyer interest. Despite the slight increase in inventory, which remains relatively low, the market continues to face constraints. The limited increase in available properties is not sufficient to significantly enhance buyer options or substantially alter the overall Slow pace of interest, indicating ongoing market constraints.
Monthly Statistics for Townhouse/Rowhouse/TwinAll prices
Home Demand
Index
87
(Slow)
Home Demand Index
from prior month
80
Home Demand Index
from prior year
95
Months of
Inventory
2.7
Average daily inventory last month
5,672
Inventory sold
last month
2,108
Bright MLS | T3 Home Demand Index

www.homedemandindex.com

Note

1. This report is generated with data from the following counties:
  • 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;
2. This report is for the August 2024 period with data collected from the previous month.
Released: August 11, 2024
Reference ID: 2092

Philadelphia | August 2024

Home Demand Map (Zip Codes)

As of August 2024, buyer interest in homes was Steady in Montgomery, New Castle, Bucks, Delaware, and Kent counties, while it was Limited in each of the New Jersey counties and Slow in the remaining counties within the metro area. The index showed an increase across all metro areas over the month. Demand remains Steady in the Salem-Cumberland area and shifted from Slow to Steady in Central Pennsylvania. Buyer interest in Ocean County remained Limited. While many areas are experiencing stable or improving buyer interest, some areas, particularly in New Jersey and Ocean County, face challenges that limit buyer engagement. The general upward trend in the metro area indicates a gradual recovery in market conditions, influenced by local economic factors and changing buyer preferences.
Bright MLS | T3 Home Demand Index

www.homedemandindex.com

Embed the Timeline

To embed the map on your website, copy and paste the code below. Please note that the ideal dimensions for displaying the map are 1312 pixels wide by 660 pixels high.

Embed the Map

To embed the map on your website, copy and paste the code below. Please note that the ideal dimensions for displaying the map are 1312 pixels wide by 1182 pixels high.

Embed the Housing Type Bar Chart

To embed the map on your website, copy and paste the code below. Please note that the ideal dimensions for displaying the map are 1312 pixels wide by 880 pixels high.