July 2023 Report
Washington D.C. Metro
Washington D.C. | July 2023
Home Demand Index
Demand for homes in the Washington Metro area decreased in June with the Bright MLS | T3 Home Demand Index down by 4.3 percent to 89 reflecting a Slow pace of activity. The Index was 25.8 percent lower than one year earlier.
Except for a marginal increase in townhouse demand, buyer interest in all other types of Washington Metro area homes was lower in June. The Index for entry-level single-family homes decreased the most, falling 15 percent to 70, a level of demand in the Slow category. Buyer interest was strongest for luxury condos, which attracted a High level of demand, followed by luxury single-family homes with Moderate buyer interest. Demand was weakest for entry-level single-family homes. The inventory of homes for sale remained very lean with less than two months supply for all types of homes except luxury condos. The months supply ranged from one month for mid-market single-family homes to 2.8 months for luxury condos.
Monthly Statistics for July 2023
Home Demand
Index
Index
89
(Slow)
Home Demand Index
from prior month
from prior month
93
Home Demand Index
from prior year
from prior year
120
Index change
from prior month
from prior month
-4.3%
Index change from
same time last year
same time last year
-25.8%
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | July 2023
Home Demand Index | Historical Year-over-Year Comparison
Since the seasonal peak in April, the Index has decreased each of the past two months. Demand has been in the Slow category in four of the past six months with only a marginally higher level of Steady activity in April and May. The cumulative impact of higher mortgage rates and a dearth of listings has resulted in a level of buyer activity in the first half of this year well below the pace set one year earlier.
Home Demand Index
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | July 2023
Home Demand Map
Buyer interest was High in Arlington County and Alexandria City and Moderate in Falls Church City. The Index was in the Limited category in Frederick County and at a somewhat stronger pace across the counties in the rest of the metro area. Demand was Moderate in Southern Maryland and the Maryland-West Virginia Panhandle market areas and Slow in the North Central Virginia region. The Index in 30 percent of ZIP codes in the Greater Washington area was in the High or Moderate category, up marginally from May. Buyer interest in half of ZIP codes was Slow or Limited in June.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | July 2023
Demand and Inventory by Home Type
Except for a marginal increase in townhouse demand, buyer interest in all other types of Washington Metro area homes was lower in June. The Index for entry-level single-family homes decreased the most, falling 15 percent to 70, a level of demand in the Slow category. Buyer interest was strongest for luxury condos, which attracted a High level of demand, followed by luxury single-family homes with Moderate buyer interest. Demand was weakest for entry-level single-family homes. The inventory of homes for sale remained very lean with less than two months supply for all types of homes except luxury condos. The months supply ranged from one month for mid-market single-family homes to 2.8 months for luxury condos.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | July 2023
Single Family Home Below $507k
Demand for entry-level single-family homes dropped 15 percent according to the Bright MLS | T3 Home Demand Index. The Index, at 70, was consistent with a Slow level of demand. The months supply, at 1.4, was unchanged from May.
Monthly Statistics for Single Family Home Below $507k
Home Demand
Index
Index
70
(Slow)
Home Demand Index
from prior month
from prior month
82
Home Demand Index
from prior year
from prior year
98
Months of
inventory
inventory
1.4
Average daily inventory last month
648
Inventory sold
last month
last month
462
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | July 2023
Single Family Home $507k - $1200k
The Index for mid-market single-family homes was down marginally in June to 83 reflecting a Slow pace of buyer interest. Compared with one year earlier, the Index was 31 percent lower, a larger year-over-year gap than any other segment of the metro area market. The inventory of homes for sale was very lean with just a one-month supply available for sale, unchanged from May.
Monthly Statistics for Single Family Home $507k - $1200k
Home Demand
Index
Index
83
(Slow)
Home Demand Index
from prior month
from prior month
86
Home Demand Index
from prior year
from prior year
120
Months of
Inventory
Inventory
1
Average daily inventory last month
1,370
Inventory sold
last month
last month
1,368
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | July 2023
Single Family Home Above $1200k
Buyer interest in luxury single-family homes fell in June with the Index down nine percent to 125. The June Index was in the Moderate demand category compared with a High level of demand in May. Only demand for luxury condos was stronger in June. There was a 1.8 months supply of homes for sale, down marginally from May.
Monthly Statistics for Single Family Home Above $1200k
Home Demand
Index
Index
125
(Moderate)
Home Demand Index
from prior month
from prior month
138
Home Demand Index
from prior year
from prior year
162
Months of
Inventory
Inventory
1.8
Average daily inventory last month
735
Inventory sold
last month
last month
411
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | July 2023
Condo Below $560k
Entry-level condo demand softened in June with the Bright MLS | T3 Home Demand Index decreasing by three percent to 101, a level consistent with Steady demand. There was a 1.5 months supply of homes for sale, down marginally over the month.
Monthly Statistics for Condo Below $560k
Home Demand
Index
Index
101
(Steady)
Home Demand Index
from prior month
from prior month
104
Home Demand Index
from prior year
from prior year
126
Months of
Inventory
Inventory
1.5
Average daily inventory last month
1,271
Inventory sold
last month
last month
837
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | July 2023
Condo Above $560k
Buyer interest in luxury condos was down over the month but continued to reflect a High level of demand. Although it was the segment with the strongest demand in June, the Index, at 139, was still 17 percent lower than one year earlier. There was a 2.8 months supply of homes for sale, down marginally compared with May.
Monthly Statistics for Condo Above $560k
Home Demand
Index
Index
139
(High)
Home Demand Index
from prior month
from prior month
145
Home Demand Index
from prior year
from prior year
167
Months of
Inventory
Inventory
2.8
Average daily inventory last month
426
Inventory sold
last month
last month
153
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | July 2023
Townhouse/Rowhouse/Twin All prices
Townhouse/
Rowhouse/Twin
All prices
Demand for townhouses in the Washington Metro area was virtually unchanged in June. The Index, at 89, continued to reflect a Slow pace of demand and was 27 percent lower than one year earlier. Inventory conditions remained challenging with 1.3 months supply, unchanged from May.
Monthly Statistics for Townhouse/Rowhouse/TwinAll prices
Home Demand
Index
Index
89
(Slow)
Home Demand Index
from prior month
from prior month
88
Home Demand Index
from prior year
from prior year
122
Months of
Inventory
Inventory
1.3
Average daily inventory last month
1,827
Inventory sold
last month
last month
1,409
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 July 2023 period with data collected from the previous month.
Released: July 11, 2023
Reference ID: 1861
Washington D.C. | July 2023
Home Demand Map (Zip Codes)
Buyer interest was High in Arlington County and Alexandria City and Moderate in Falls Church City. The Index was in the Limited category in Frederick County and at a somewhat stronger pace across the counties in the rest of the metro area. Demand was Moderate in Southern Maryland and the Maryland-West Virginia Panhandle market areas and Slow in the North Central Virginia region. The Index in 30 percent of ZIP codes in the Greater Washington area was in the High or Moderate category, up marginally from May. Buyer interest in half of ZIP codes was Slow or Limited in June.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com