October 2023 Report
Washington D.C. Metro
Washington D.C. | October 2023
Home Demand Index
Demand for homes in the Washington Metro area fell in September according to the Bright MLS | T3 Home Demand Index. The Index, at 48, was 37.7 percent lower over the month and reflected a Limited pace of buyer activity. Compared with one year earlier, the Index was 54.7 percent lower.
Buyer interest in all types of homes fell in September. The Index for entry-level single-family homes and entry-level condos was roughly 40 percent lower while buyer interest in other segments fell somewhat less. Demand was strongest for luxury condos, which attracted a Steady level of buyer interest, while demand for all other types of homes was in the Limited range. The inventory of homes available for sale remained low with less than a two months supply in each segment except luxury single-family homes and luxury condos. The months supply was generally higher in September and ranged from 1.6 months for mid-market single-family homes to 3.6 months for luxury condos.
Monthly Statistics for October 2023
Home Demand
Index
Index
48
(Limited)
Home Demand Index
from prior month
from prior month
77
Home Demand Index
from prior year
from prior year
106
Index change
from prior month
from prior month
-37.7%
Index change from
same time last year
same time last year
-54.7%
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | October 2023
Home Demand Index | Historical Year-over-Year Comparison
September marked the fifth consecutive decrease in the Index since the April peak in buyer activity. The decrease in September was much greater than the previous months’ declines and contrasts with the modest uptick in activity one year earlier. Lean inventory and rising mortgage rates have combined to drive down affordability resulting in the sharp decrease in the Index in September.
Home Demand Index
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | October 2023
Home Demand Map
Demand was Steady in Arlington County and Slow in Falls Church City and Alexandria City. Buyer interest was Limited in the rest of the Washington Metro area counties. The Index was lower in each county compared with August. Demand was Slow in the Maryland-West Virginia Panhandle area and Limited in Southern Maryland and North Central Virginia. Buyer interest was in the High or Moderate category in just 5 percent of ZIP codes across the Greater Washington area and in the Slow or Limited range in nearly 90 percent of communities.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | October 2023
Demand and Inventory by Home Type
Buyer interest in all types of homes fell in September. The Index for entry-level single-family homes and entry-level condos was roughly 40 percent lower while buyer interest in other segments fell somewhat less. Demand was strongest for luxury condos, which attracted a Steady level of buyer interest, while demand for all other types of homes was in the Limited range. The inventory of homes available for sale remained low with less than a two months supply in each segment except luxury single-family homes and luxury condos. The months supply was generally higher in September and ranged from 1.6 months for mid-market single-family homes to 3.6 months for luxury condos.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | October 2023
Single Family Home Below $515k
Buyer interest in entry-level single-family homes was significantly lower in September according to the Bright MLS | T3 Home Demand Index. The Index, at 41, reflected a Limited pace of demand. There was a 1.8 months supply of homes available for sale, unchanged from the previous month.
Monthly Statistics for Single Family Home Below $515k
Home Demand
Index
Index
41
(Limited)
Home Demand Index
from prior month
from prior month
69
Home Demand Index
from prior year
from prior year
97
Months of
inventory
inventory
1.8
Average daily inventory last month
657
Inventory sold
last month
last month
368
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | October 2023
Single Family Home $515k - $1210k
Demand for mid-market single-family homes was down in September according to the Bright MLS | T3 Home Demand Index. At 42, the Index was consistent with a Limited pace of buyer interest. There was a 1.6 months supply of homes available for sale, up from 1.3 months in August.
Monthly Statistics for Single Family Home $515k - $1210k
Home Demand
Index
Index
42
(Limited)
Home Demand Index
from prior month
from prior month
69
Home Demand Index
from prior year
from prior year
99
Months of
Inventory
Inventory
1.6
Average daily inventory last month
1,371
Inventory sold
last month
last month
844
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | October 2023
Single Family Home Above $1210k
Buyer interest in luxury single-family homes fell from Steady to Limited in September with the Index decreasing by 27 percent over the month. Compared with one year earlier, the Index was 38 percent lower when buyer interest was in the Moderate range. The inventory of homes for sale, at 3 months supply, was up from 1.9 months in August.
Monthly Statistics for Single Family Home Above $1210k
Home Demand
Index
Index
68
(Limited)
Home Demand Index
from prior month
from prior month
93
Home Demand Index
from prior year
from prior year
110
Months of
Inventory
Inventory
3
Average daily inventory last month
612
Inventory sold
last month
last month
207
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | October 2023
Condo Below $565k
Demand for entry-level condos was lower in September, with the Index decreasing 40 percent over the month to 56, a level consistent with a Limited pace of buyer interest. Compared with one year earlier, the Index was 52 percent lower. The months supply, at 1.9, was up from 1.7 months in August.
Monthly Statistics for Condo Below $565k
Home Demand
Index
Index
56
(Limited)
Home Demand Index
from prior month
from prior month
93
Home Demand Index
from prior year
from prior year
116
Months of
Inventory
Inventory
1.9
Average daily inventory last month
1,215
Inventory sold
last month
last month
639
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | October 2023
Condo Above $565k
The Index for luxury condos was down 17 percent in September reflecting demand in the Steady category. The Index was 47 percent lower compared with one year earlier. The months supply, at 3.6, was up from 2.9 months in August.
Monthly Statistics for Condo Above $565k
Home Demand
Index
Index
92
(Steady)
Home Demand Index
from prior month
from prior month
111
Home Demand Index
from prior year
from prior year
173
Months of
Inventory
Inventory
3.6
Average daily inventory last month
398
Inventory sold
last month
last month
110
Bright MLS | T3 Home Demand Index
www.homedemandindex.com
Washington D.C. | October 2023
Townhouse/Rowhouse/Twin All prices
Townhouse/
Rowhouse/Twin
All prices
The Bright MLS | T3 Home Demand Index for townhouses decreased 36 percent in September to 49 indicating a Limited level of buyer interest. Moreover, the Index was more than 50 percent lower compared with one year earlier. The inventory of homes for sale, at 1.9 months supply, was up from 1.5 months in August.
Monthly Statistics for Townhouse/Rowhouse/TwinAll prices
Home Demand
Index
Index
49
(Limited)
Home Demand Index
from prior month
from prior month
77
Home Demand Index
from prior year
from prior year
110
Months of
Inventory
Inventory
1.9
Average daily inventory last month
1,937
Inventory sold
last month
last month
1,020
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 October 2023 period with data collected from the previous month.
Released: October 11, 2023
Reference ID: 1908
Washington D.C. | October 2023
Home Demand Map (Zip Codes)
Demand was Steady in Arlington County and Slow in Falls Church City and Alexandria City. Buyer interest was Limited in the rest of the Washington Metro area counties. The Index was lower in each county compared with August. Demand was Slow in the Maryland-West Virginia Panhandle area and Limited in Southern Maryland and North Central Virginia. Buyer interest was in the High or Moderate category in just 5 percent of ZIP codes across the Greater Washington area and in the Slow or Limited range in nearly 90 percent of communities.
Bright MLS | T3 Home Demand Index
www.homedemandindex.com