February 2023 Report
Philadelphia Metro
Philadelphia | February 2023
Home Demand Index
The Bright MLS | T3 Home Demand Index for the Philadelphia Metro area rose 28.1 percent to 73 in January, reflecting a Slow pace of buyer activity. The Index was 14.1 percent lower than one year earlier.
The Bright MLS | T3 Home Demand Index for each type of home rose in January with demand for luxury condos, those on the market for more than $390,000, rising by more than half. In addition, the Index for luxury single-family homes priced over $680,000 rose by slightly more than 40 percent. While also rising the most, demand for luxury condos was the strongest with the Index in the Moderate category, followed by townhouses and entry-level condos, each with buyer interest in the Slow category. The months supply ranged from a low of two months for mid-market single-family homes to a high of 6.8 months for luxury condos.
Monthly Statistics for February 2023
Home Demand
Index
Index
73
(Slow)
Home Demand Index
from prior month
from prior month
57
Home Demand Index
from prior year
from prior year
85
Index change
from prior month
from prior month
28.1%
Index change from
same time last year
same time last year
-14.1%
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | February 2023
Home Demand Index | Historical Year-over-Year Comparison
Demand for homes rose in January following six months of declining buyer interest linked to higher mortgage rates and concerns about a recession. The rise in activity over the month was consistent with the usual seasonal uptick in buyer interest at the start of the year, however, as buyers begin searching for homes in the early months of the spring market.
Home Demand Index
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | February 2023
Home Demand Map
Demand for homes across the Philadelphia Metro area was Limited in Chester County and the New Jersey counties in the metro area and Slow throughout the rest of the region. Buyer interest was Steady in the Salem-Cumberland market area and at a Limited pace in Central Pennsylvania. Across the Greater Philadelphia Area, demand was Limited or Slow in nearly three-quarters of ZIP codes. Buyer interest was High or Moderate in about 15 percent of communities, roughly twice as many as in December.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | February 2023
Demand and Inventory by Home Type
The Bright MLS | T3 Home Demand Index for each type of home rose in January with demand for luxury condos, those on the market for more than $390,000, rising by more than half. In addition, the Index for luxury single-family homes priced over $680,000 rose by slightly more than 40 percent. While also rising the most, demand for luxury condos was the strongest with the Index in the Moderate category, followed by townhouses and entry-level condos, each with buyer interest in the Slow category. The months supply ranged from a low of two months for mid-market single-family homes to a high of 6.8 months for luxury condos.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | February 2023
Single Family Home Below $300k
Buyer interest in entry-level single-family homes priced below $300,000 rose in January. The Index, at 73, was up by a modest 12 percent and reflected a Slow pace of demand. Compared with one year earlier, the Index as 20 percent lower. There was a 2.1 months supply of homes available for sale.
Monthly Statistics for Single Family Home Below $300k
Home Demand
Index
Index
73
(Slow)
Home Demand Index
from prior month
from prior month
65
Home Demand Index
from prior year
from prior year
91
Months of
inventory
inventory
2.1
Average daily inventory last month
955
Inventory sold
last month
last month
464
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | February 2023
Single Family Home $300k - $680k
The Bright MLS | T3 Home Demand Index for mid-market single-family homes rose by nearly one-third to 67, but despite the increase remained In the Limited range of demand. The Index was 12 percent lower than one year earlier. There was a two-month supply of homes on the market, lower than any other segment of the Philadelphia Metro market.
Monthly Statistics for Single Family Home $300k - $680k
Home Demand
Index
Index
67
(Limited)
Home Demand Index
from prior month
from prior month
51
Home Demand Index
from prior year
from prior year
76
Months of
Inventory
Inventory
2
Average daily inventory last month
2,078
Inventory sold
last month
last month
1,026
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | February 2023
Single Family Home Above $680k
Demand for luxury single-family homes was Limited in January. The Index, at 50, did increase along with other segments of the market, but attracted the lowest level of buyer interest of any type of home. There was a 3.1 months supply of homes, notably higher than the other lower-priced single-family segments.
Monthly Statistics for Single Family Home Above $680k
Home Demand
Index
Index
50
(Limited)
Home Demand Index
from prior month
from prior month
35
Home Demand Index
from prior year
from prior year
61
Months of
Inventory
Inventory
3.1
Average daily inventory last month
749
Inventory sold
last month
last month
239
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | February 2023
Condo Below $390k
The Bright MLS | T3 Home Demand Index for entry-level condos on the market for less than $390,000 rose by one-third in January to 81, a level reflecting a Slow pace of demand. Compared with one year earlier, the Index was roughly 20 percent lower. There was a 2.6 months supply of homes available for sale.
Monthly Statistics for Condo Below $390k
Home Demand
Index
Index
81
(Slow)
Home Demand Index
from prior month
from prior month
61
Home Demand Index
from prior year
from prior year
100
Months of
Inventory
Inventory
2.6
Average daily inventory last month
529
Inventory sold
last month
last month
200
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | February 2023
Condo Above $390k
Although a small share of overall sales, demand for luxury condos priced over $390,000 was stronger than any other segment of the market in January. The Index, at 112, was up more than 50 percent from December and reflected a Moderate pace of buyer interest. There was a 6.8 months supply of homes on the market.
Monthly Statistics for Condo Above $390k
Home Demand
Index
Index
112
(Moderate)
Home Demand Index
from prior month
from prior month
72
Home Demand Index
from prior year
from prior year
118
Months of
Inventory
Inventory
6.8
Average daily inventory last month
253
Inventory sold
last month
last month
37
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | February 2023
Townhouse/Rowhouse/Twin All prices
Townhouse/
Rowhouse/Twin
All prices
Buyer interest in townhouses rose in January with the Index up by one-fourth to 83 and marking a Slow pace of demand. The months supply rose to 3.7 months from 3.2 months in December with both lower sales and fewer listing on the market. The months supply was greater than all other segments except luxury condos.
Monthly Statistics for Townhouse/Rowhouse/TwinAll prices
Home Demand
Index
Index
83
(Slow)
Home Demand Index
from prior month
from prior month
65
Home Demand Index
from prior year
from prior year
97
Months of
Inventory
Inventory
3.7
Average daily inventory last month
5,066
Inventory sold
last month
last month
1,363
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 February 2023 period with data collected from the previous month.
Released: February 3, 2023
Reference ID: 1769
Philadelphia | February 2023
Home Demand Map (Zip Codes)
Demand for homes across the Philadelphia Metro area was Limited in Chester County and the New Jersey counties in the metro area and Slow throughout the rest of the region. Buyer interest was Steady in the Salem-Cumberland market area and at a Limited pace in Central Pennsylvania. Across the Greater Philadelphia Area, demand was Limited or Slow in nearly three-quarters of ZIP codes. Buyer interest was High or Moderate in about 15 percent of communities, roughly twice as many as in December.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com