Highs And Lows In Real Estate

Prince George's Home Sales: Low Inventory Rewards Home Sellers with Faster Sales at Higher Sold Prices

Landover, MD –Representing more than 4,000 real estate professionals in the national capital area, the Prince George's County Association of REALTORS® (PGCAR) is an affiliate of the Maryland and National Association of REALTORS®. Now, PGCAR reports that the high demand for Prince George's County homes versus limited supply of “for sale” homes continues to be the clear driver of the current home market. June saw 808 Closed Sales, just 0.9% under May’s 815 Closed Sales.

Average Sold Price was $446,851, increasing 3% from May and 3.9% over June 2022. Median Sold Price was $424,000, increasing 0.2% over May and 2.4% over June 2022. In addition, Median Days on Market (the time between Listing and Contract signing) fell another 10% from May to June, from 10 to 9 days.

Total Contract Activity for Prince George's County homes (808 Closed Sales plus 859 New Pending Sales in June) has greatly outnumbered Active Listings (averaging only 938 in June) for every month of 2023. “We are excited that New Listings did increase by 7% from 853 in May to 913 New Listings in June,” the group said. “This increased the Months of Supply to 1.25, meaning that if no new listings are added, current listings would sell out in 1.25 months.”

The increased number of New Listings also eased the Contract Ratio to 1.28 Pending Contracts per Active Listing, a 19% decrease from May. It's still a Seller's Market, although an increasing number of Sellers and new developments are opening more opportunities for Buyers, bringing us closer to a balanced market. All market indicators continue to point to the long-standing strength of the Prince George's County home market, especially given the attractiveness and relative affordability of Prince George's County within the greater Washington, DC region.

The lack of inventory to meet the high demand for Prince George's County homes remains a critical need to be solved. Economists still predict that mortgage rates are nearing a peak and will stay stable or decrease nominally through the end of 2023 and 2024. Increased availability and Consumer Confidence will bring more people desiring to be homeowners into the market. The biggest concern is that Total Sales continue to be hampered by an inventory which remains lower than the unmet demand, limiting the opportunities for more individuals and households to realize the generational wealth-building that homeownership brings.

Rachel Jefferies, PGCAR President and Associate Broker of Keller Williams Preferred Properties, provides insights on the economic and lifestyle benefits of homeownership. “Homes are selling fast, and Prince George's County home values remain strong! In June, the Prince George's Median Sold Home Price rose to $425,000, a 2.4% increase over 2022. Average Sold Price increased 3.9% over 2022 to $446,851. Prince George's County still enjoys relative affordability within the greater Maryland-DC-Virginia region and is a highly desirable location for homeownership, allowing our County to outperform regional and national market trends.”