January 2026 Report
Washington D.C. Metro
Washington D.C. | January 2026
Home Demand Index
The Home Demand Index (HDI) for the Washington D.C. metro area is at 51 for this report period, reflecting a decline from 70 in the previous month, which signals continued softer buyer activity. Compared with last year’s index of 51, demand is unchanged on an annual basis, indicating similar market conditions year over year. The market category falls under Limited, pointing to reduced buyer movement and quieter overall conditions.
Demand across home types in the Washington D.C. area is softening during this report period. Mid-market single-family homes show the largest pullback from last month, while entry-level single-family homes remain more resilient, slightly above year-ago levels. Luxury single-family homes see a notable decline compared with both last month and last year. Among attached homes, including townhouses, rowhouses, twin homes, and condos, demand is down across price points, with higher-priced condos posting the steepest year-over-year drop. Overall, demand is down due to limited inventory.
Monthly Statistics for January 2026
Home Demand
Index
Index
51
(Limited)
Home Demand Index
from prior month
from prior month
70
Home Demand Index
from prior year
from prior year
51
Index change
from prior month
from prior month
-27.1%
Index change from
same time last year
same time last year
0%
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | January 2026
Home Demand Index | Historical Year-over-Year Comparison
The year-over-year HDI comparison shows Washington D.C. at 51 in the current period, down from 70 last month but matching the 51 level recorded at the same time last year. The line chart highlights a clear month-over-month cooling from late-year conditions, even as demand remains broadly in line with last year’s baseline. Taken together, the past 12 months point to a market that has softened recently after periods of firmer activity, returning to more subdued and historically consistent demand.
Home Demand Index
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | January 2026
Home Demand Map
Buyer demand across the Washington, D.C., metro region is declining. Arlington County and Alexandria City have shifted from steady to Slow. Core areas and inner-ring suburbs, including Washington, DC, Fairfax City, and Falls Church City, now sit in the Limited range, while outer suburban counties such as Fairfax County, Montgomery, Frederick, and Loudoun consistently fall into Limited demand. This pattern highlights that, despite overall softening across the region, proximity to employment centers, transit, and amenity-rich neighborhoods continues to support comparatively firmer activity near the core.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | January 2026
Demand and Inventory by Home Type
Demand across home types in the Washington D.C. area is softening during this report period. Mid-market single-family homes show the largest pullback from last month, while entry-level single-family homes remain more resilient, slightly above year-ago levels. Luxury single-family homes see a notable decline compared with both last month and last year. Among attached homes, including townhouses, rowhouses, twin homes, and condos, demand is down across price points, with higher-priced condos posting the steepest year-over-year drop. Overall, demand is down due to limited inventory.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | January 2026
Single Family Home Below $575k
The index for entry-level single-family homes in Washington D.C. is 59 this report period, down from 73 last month but above 52 a year ago. Demand continues in the Limited category, indicating moderately restrained buyer activity in this segment. Inventory levels may be influencing buyer decisions during this period.
Monthly Statistics for Single Family Home Below $575k
Home Demand
Index
Index
59
(Limited)
Home Demand Index
from prior month
from prior month
73
Home Demand Index
from prior year
from prior year
52
Months of
inventory
inventory
2.8
Average daily inventory last month
1,129
Inventory sold
last month
last month
405
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | January 2026
Single Family Home $575k - $1375k
The index for mid-range single-family homes in Washington D.C. is 41 this report period, down from 61 last month but slightly above last year’s 40. Demand has softened compared with the previous month, remaining in the Limited category. The decline suggests buyer activity has eased, possibly reflecting tighter market conditions.
Monthly Statistics for Single Family Home $575k - $1375k
Home Demand
Index
Index
41
(Limited)
Home Demand Index
from prior month
from prior month
61
Home Demand Index
from prior year
from prior year
40
Months of
Inventory
Inventory
1.9
Average daily inventory last month
1,721
Inventory sold
last month
last month
894
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | January 2026
Single Family Home Above $1375k
The index for luxury single-family homes in Washington D.C. fell to 40 in this report period, down from 63 previously. Compared with last year’s 42, demand is slightly lower, and the market remains in the Limited category, indicating restrained buyer activity. Tight inventory levels may be limiting options for buyers, contributing to the softer demand.
Monthly Statistics for Single Family Home Above $1375k
Home Demand
Index
Index
40
(Limited)
Home Demand Index
from prior month
from prior month
63
Home Demand Index
from prior year
from prior year
42
Months of
Inventory
Inventory
2.6
Average daily inventory last month
528
Inventory sold
last month
last month
200
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | January 2026
Condo Below $600k
The index for entry-level condos in Washington D.C. is 66 this report period, down from 84 last month but slightly below 69 a year ago. Demand has softened, with the market shifting from Slow to Limited. Buyer engagement appears more restrained in this segment compared with previous periods.
Monthly Statistics for Condo Below $600k
Home Demand
Index
Index
66
(Limited)
Home Demand Index
from prior month
from prior month
84
Home Demand Index
from prior year
from prior year
69
Months of
Inventory
Inventory
4.3
Average daily inventory last month
2,271
Inventory sold
last month
last month
526
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | January 2026
Condo Above $600k
The luxury condo index in Washington D.C. is 55 this report period, down from 85 previously and below last year’s 76. The decline reflects slower turnover in high-end units, as the market absorbs existing inventory, moving the segment from Slow to Limited. Fewer buyers are actively competing for available listings, contributing to a more measured pace compared with both last month and last year.
Monthly Statistics for Condo Above $600k
Home Demand
Index
Index
55
(Limited)
Home Demand Index
from prior month
from prior month
85
Home Demand Index
from prior year
from prior year
76
Months of
Inventory
Inventory
4
Average daily inventory last month
396
Inventory sold
last month
last month
100
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | January 2026
Townhouse/Rowhouse/Twin All prices
Townhouse/
Rowhouse/Twin
All prices
The index for townhouses, rowhouses, and twin homes in Washington D.C. is 55 this report period, down from 73 last month but slightly above last year’s 54. The decline indicates a notable slowdown in buyer activity, with demand moving from the slow category to Limited. Overall, interest in these attached homes remains constrained, reflecting more selective buyer engagement.
Monthly Statistics for Townhouse/Rowhouse/TwinAll prices
Home Demand
Index
Index
55
(Limited)
Home Demand Index
from prior month
from prior month
73
Home Demand Index
from prior year
from prior year
54
Months of
Inventory
Inventory
2.6
Average daily inventory last month
2,705
Inventory sold
last month
last month
1,029
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 January 2026 period with data collected from the previous month.
Released: January 11, 2026
Reference ID: 2362
Washington D.C. | January 2026
Home Demand Map (Zip Codes)
Buyer demand across the Washington, D.C., metro region is declining. Arlington County and Alexandria City have shifted from steady to Slow. Core areas and inner-ring suburbs, including Washington, DC, Fairfax City, and Falls Church City, now sit in the Limited range, while outer suburban counties such as Fairfax County, Montgomery, Frederick, and Loudoun consistently fall into Limited demand. This pattern highlights that, despite overall softening across the region, proximity to employment centers, transit, and amenity-rich neighborhoods continues to support comparatively firmer activity near the core.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com