April 2023 Report
Washington D.C. Metro
Washington D.C. | April 2023
Home Demand Index
The Bright MLS | T3 Home Demand Index for the Washington Metro area rose 7.8 percent to 83 in March but remained in the Slow category. Compared with one year earlier, the Index was 30.8 percent lower.
The Index for entry-level single-family homes fell in March but rose for all other types of homes. Demand increased the most for luxury single-family homes and luxury condos. In each instance the Index increased by 26 percent over the month. Buyer interest remained strongest for luxury condos with demand in the High category. The Index was in the Slow or Steady category for all other segments of the metro area market. The months supply decreased among all types of homes stemming mostly from an increase in sales and little change in the number of listings. The months supply ranged from 1.3 months for mid-market single-family homes to 3.2 months for luxury condos.
Monthly Statistics for April 2023
Home Demand
Index
Index
83
(Slow)
Home Demand Index
from prior month
from prior month
77
Home Demand Index
from prior year
from prior year
120
Index change
from prior month
from prior month
7.8%
Index change from
same time last year
same time last year
-30.8%
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | April 2023
Home Demand Index | Historical Year-over-Year Comparison
Despite a solid increase in the Index in January, demand has risen at a much slower pace through March compared with last year. The gap of more than 30 percent reflects the difference between last year’s Moderate demand and this year’s Slow pace of buyer interest. Higher mortgage rates combined with speculation about rising unemployment as the Fed seeks to lower the rate of inflation likely contributed to the weaker pace of demand this year.
Home Demand Index
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | April 2023
Home Demand Map
Demand for homes across the Washington Metro area varied widely in March. Buyer interest was High in Arlington County and Moderate in Alexandria City but Limited in Frederick County and Slow or Steady in the rest of the metro area. Demand was Steady in Southern Maryland and Slow in the Maryland-West Virginia Panhandle market area and Limited in the North Central Virginia region. At the ZIP code level, the Index was in the Slow or Limited range in two-thirds of communities and in the High or Moderate category in one-fifth of ZIP codes, in both instances virtually unchanged from February.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | April 2023
Demand and Inventory by Home Type
The Index for entry-level single-family homes fell in March but rose for all other types of homes. Demand increased the most for luxury single-family homes and luxury condos. In each instance the Index increased by 26 percent over the month. Buyer interest remained strongest for luxury condos with demand in the High category. The Index was in the Slow or Steady category for all other segments of the metro area market. The months supply decreased among all types of homes stemming mostly from an increase in sales and little change in the number of listings. The months supply ranged from 1.3 months for mid-market single-family homes to 3.2 months for luxury condos.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | April 2023
Single Family Home Below $513k
Demand for entry-level single-family homes eased in March with the Index falling by 10 percent over the month but remaining in the Slow category. Buyer interest was Steady one year earlier. The inventory of homes for sale was at 1.5 months in March, a decrease from 2.1 months in February.
Monthly Statistics for Single Family Home Below $513k
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
95
Months of
inventory
inventory
1.5
Average daily inventory last month
680
Inventory sold
last month
last month
454
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | April 2023
Single Family Home $513k - $1200k
The Bright MLS | T3 Home Demand Index for mid-market single-family homes increased to 77 in March but remained in the Slow category. The Index was roughly one-third lower than a year earlier when buyer interest was in the Moderate range. The months supply of homes for sale, at 1.3, was lower than any other segment of the Washington Metro area market and down from 1.7 months in February.
Monthly Statistics for Single Family Home $513k - $1200k
Home Demand
Index
Index
77
(Slow)
Home Demand Index
from prior month
from prior month
71
Home Demand Index
from prior year
from prior year
115
Months of
Inventory
Inventory
1.3
Average daily inventory last month
1,193
Inventory sold
last month
last month
939
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | April 2023
Single Family Home Above $1200k
Demand for luxury single-family homes jumped in March with the Index increasing by 26 percent to 103, reflecting a Steady level of buyer interest. Despite the solid increase, the Index was one-third lower than a year earlier when demand was solidly in the High category. There was a 2.4 months supply of homes on the market in March, higher than the other single-family segments.
Monthly Statistics for Single Family Home Above $1200k
Home Demand
Index
Index
103
(Steady)
Home Demand Index
from prior month
from prior month
82
Home Demand Index
from prior year
from prior year
155
Months of
Inventory
Inventory
2.4
Average daily inventory last month
476
Inventory sold
last month
last month
196
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | April 2023
Condo Below $560k
The Bright MLS | T3 Home Demand Index for entry-level condos rose 10 percent to 92, a level consistent with a Steady pace of demand. A slightly stronger pace of sales relative to the number of listings on the market resulted in a decline in the months supply to 1.7 months in March from 2.1 months in February.
Monthly Statistics for Condo Below $560k
Home Demand
Index
Index
92
(Steady)
Home Demand Index
from prior month
from prior month
84
Home Demand Index
from prior year
from prior year
132
Months of
Inventory
Inventory
1.7
Average daily inventory last month
1,130
Inventory sold
last month
last month
659
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | April 2023
Condo Above $560k
Demand for luxury condos jumped in March with the Index rising by roughly one-fourth to 141, a level well above the threshold indicating High buyer interest. Even with the March increase, the Index was still 25 percent lower than one year earlier. There was a 3.2 months supply of homes for sale down from 3.6 months in February.
Monthly Statistics for Condo Above $560k
Home Demand
Index
Index
141
(High)
Home Demand Index
from prior month
from prior month
112
Home Demand Index
from prior year
from prior year
187
Months of
Inventory
Inventory
3.2
Average daily inventory last month
376
Inventory sold
last month
last month
118
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | April 2023
Townhouse/Rowhouse/Twin All prices
Townhouse/
Rowhouse/Twin
All prices
Buyer interest in the townhouse segment was slightly stronger in March but remained in the Slow demand category. Like other segments of the Washington Metro area market, the pace of demand in March was well below the level of buyer interest one year earlier. Inventory conditions tightened in March with the months supply decreasing to 1.5 months from 1.9 months in February.
Monthly Statistics for Townhouse/Rowhouse/TwinAll prices
Home Demand
Index
Index
81
(Slow)
Home Demand Index
from prior month
from prior month
76
Home Demand Index
from prior year
from prior year
121
Months of
Inventory
Inventory
1.5
Average daily inventory last month
1,715
Inventory sold
last month
last month
1,126
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Note
1. This report is generated with data from the following counties:
- Maryland-West Virginia Panhandle – Allegany, MD; Berkeley, WV; Garrett, MD; Grant, WV; Hampshire, WV; Hardy, WV; Jefferson, WV; Mineral, WV; Morgan, WV; Pendleton, WV; Washington, MD;
- North Central Virginia – Caroline, VA; Clarke, VA; Culpeper, VA; Fauquier, VA; Frederick, VA; Fredericksburg City, VA; King George, VA; Madison, VA; Manassas City, VA; Orange, VA; Page, VA; Prince William, VA; Rappahannock, VA; Shenandoah, VA; Spotsylvania, VA; Stafford, VA; Warren, VA; Winchester City, VA;
- Southern Maryland – Calvert, MD; Charles, MD; Saint Marys, MD;
- Washington D.C. Metro – Alexandria City, VA; Arlington, VA; Fairfax, VA; Falls Church City, VA; Frederick, MD; Loudoun, VA; Montgomery, MD; Prince Georges, MD; Washington, DC;
2. This report is for the April 2023 period with data collected from the previous month.
Released: April 11, 2023
Reference ID: 1812
Washington D.C. | April 2023
Home Demand Map (Zip Codes)
Demand for homes across the Washington Metro area varied widely in March. Buyer interest was High in Arlington County and Moderate in Alexandria City but Limited in Frederick County and Slow or Steady in the rest of the metro area. Demand was Steady in Southern Maryland and Slow in the Maryland-West Virginia Panhandle market area and Limited in the North Central Virginia region. At the ZIP code level, the Index was in the Slow or Limited range in two-thirds of communities and in the High or Moderate category in one-fifth of ZIP codes, in both instances virtually unchanged from February.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com