September 2023 Report
Philadelphia Metro
Philadelphia | September 2023
Home Demand Index
The Bright MLS | T3 Home Demand Index for the Philadelphia Metro area fell 2.3 percent in August to 84 and remained in the Slow buyer demand category. The Index was 16.8 percent lower than one year earlier.
The Bright MLS | T3 Home Demand Index reflected generally weaker buyer activity among all types of homes in August. Demand for luxury single-family homes fell the most with a 10 percent drop in the Index. The Index for entry-level single-family homes was unchanged while demand among the remaining market segments was marginally lower. Buyer interest in luxury condos and townhouses was in the Steady category while demand for all other types of homes was in the Slow range. The months supply was lower for each type of home ranging from 1.2 months for mid-market single-family homes to 5.2 months for luxury condos.
Monthly Statistics for September 2023
Home Demand
Index
Index
84
(Slow)
Home Demand Index
from prior month
from prior month
86
Home Demand Index
from prior year
from prior year
101
Index change
from prior month
from prior month
-2.3%
Index change from
same time last year
same time last year
-16.8%
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | September 2023
Home Demand Index | Historical Year-over-Year Comparison
The Index fell for the second consecutive month and was 13 percent below the April seasonal peak that marked the height of the spring homebuying season. Demand was markedly lower than the Steady pace one year earlier as well. Although several forces have been at play in the market, higher mortgage rates and tight inventory conditions continued to hamper market activity this summer.
Home Demand Index
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | September 2023
Home Demand Map
Demand across the metro area counties was mixed. Buyer interest in Philadelphia County and the New Jersey portion of the market area was in the Slow or Limited range while demand in the rest of the metro area was Steady. Buyer interest was Moderate in the Salem-Cumberland market area and Steady in Central Pennsylvania. Across the Greater Philadelphia area demand in one fourth of ZIP codes was High or Moderate, unchanged from July. Buyer interest in 57 percent of ZIP codes was in the Slow or Limited range in August, a marginal increase from the previous month.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | September 2023
Demand and Inventory by Home Type
The Bright MLS | T3 Home Demand Index reflected generally weaker buyer activity among all types of homes in August. Demand for luxury single-family homes fell the most with a 10 percent drop in the Index. The Index for entry-level single-family homes was unchanged while demand among the remaining market segments was marginally lower. Buyer interest in luxury condos and townhouses was in the Steady category while demand for all other types of homes was in the Slow range. The months supply was lower for each type of home ranging from 1.2 months for mid-market single-family homes to 5.2 months for luxury condos.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | September 2023
Single Family Home Below $305k
Demand for entry-level single-family homes was unchanged in August according to the Bright MLS | T3 Home Demand Index. At 85, the Index was consistent with a Slow pace of buyer interest. There was a 1.5 months supply of homes available for sale, down from 1.7 months in July.
Monthly Statistics for Single Family Home Below $305k
Home Demand
Index
Index
85
(Slow)
Home Demand Index
from prior month
from prior month
85
Home Demand Index
from prior year
from prior year
101
Months of
inventory
inventory
1.5
Average daily inventory last month
879
Inventory sold
last month
last month
593
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | September 2023
Single Family Home $305k - $688k
The Index for mid-market single-family homes was down marginally to 78 reflecting a Slow pace of buyer demand. Moreover, the Index was 22 percent lower than one year earlier, a greater year-to-year gap than any other segment. The months supply, at 1.2, was down marginally over the month and lower than any other type of Philadelphia Metro area home.
Monthly Statistics for Single Family Home $305k - $688k
Home Demand
Index
Index
78
(Slow)
Home Demand Index
from prior month
from prior month
79
Home Demand Index
from prior year
from prior year
100
Months of
Inventory
Inventory
1.2
Average daily inventory last month
2,253
Inventory sold
last month
last month
1,840
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | September 2023
Single Family Home Above $688k
The Bright MLS | T3 Home Demand Index for luxury single-family homes decreased 10 percent in August to 71 reflecting a Slow level of buyer interest. Moreover, demand was weaker than any other segment of the Philadelphia Metro area market. The months supply of homes, at 1.7, was down from two months in July.
Monthly Statistics for Single Family Home Above $688k
Home Demand
Index
Index
71
(Slow)
Home Demand Index
from prior month
from prior month
79
Home Demand Index
from prior year
from prior year
86
Months of
Inventory
Inventory
1.7
Average daily inventory last month
1,058
Inventory sold
last month
last month
606
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | September 2023
Condo Below $385k
Buyer interest in entry-level condos was down marginally in August according to the Bright MLS | T3 Home Demand Index. The Index, at 84, reflected a Slow pace of demand. There was a 2.2 months supply of homes available for sale, down from 2.5 months in July.
Monthly Statistics for Condo Below $385k
Home Demand
Index
Index
84
(Slow)
Home Demand Index
from prior month
from prior month
85
Home Demand Index
from prior year
from prior year
106
Months of
Inventory
Inventory
2.2
Average daily inventory last month
592
Inventory sold
last month
last month
272
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | September 2023
Condo Above $385k
The Index for luxury condos was down 2 percent in August reflecting demand in the Steady category. The Index was 1 percent higher compared with the year before, while all other types of homes were markedly below the pace set one year earlier. The months supply, at 5.2, was down from 5.6 months in July.
Monthly Statistics for Condo Above $385k
Home Demand
Index
Index
105
(Steady)
Home Demand Index
from prior month
from prior month
107
Home Demand Index
from prior year
from prior year
104
Months of
Inventory
Inventory
5.2
Average daily inventory last month
284
Inventory sold
last month
last month
55
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Philadelphia | September 2023
Townhouse/Rowhouse/Twin All prices
Townhouse/
Rowhouse/Twin
All prices
Demand for townhouses was slightly lower in August with the Index decreasing 2 percent over the month to 93, a level consistent with a Steady pace of buyer interest. Compared with one year earlier, the Index was 15 percent lower. The months supply, at 2.5 months, was down from 2.8 months in July.
Monthly Statistics for Townhouse/Rowhouse/TwinAll prices
Home Demand
Index
Index
93
(Steady)
Home Demand Index
from prior month
from prior month
95
Home Demand Index
from prior year
from prior year
109
Months of
Inventory
Inventory
2.5
Average daily inventory last month
5,297
Inventory sold
last month
last month
2,090
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 September 2023 period with data collected from the previous month.
Released: September 11, 2023
Reference ID: 1892
Philadelphia | September 2023
Home Demand Map (Zip Codes)
Demand across the metro area counties was mixed. Buyer interest in Philadelphia County and the New Jersey portion of the market area was in the Slow or Limited range while demand in the rest of the metro area was Steady. Buyer interest was Moderate in the Salem-Cumberland market area and Steady in Central Pennsylvania. Across the Greater Philadelphia area demand in one fourth of ZIP codes was High or Moderate, unchanged from July. Buyer interest in 57 percent of ZIP codes was in the Slow or Limited range in August, a marginal increase from the previous month.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com