Home Demand Map

Demand was Moderate in Arlington County and Falls Church City and Steady in Alexandria City. Buyer interest was in the Slow or Limited range in the rest of the Washington Metro area. Demand was Moderate in Southern Maryland and the Maryland-West Virginia Panhandle market areas and Slow in the North Central Virginia region. In the Greater Washington area, demand in 21 percent of ZIP codes was High or Moderate, down from 26 percent in July. Buyer interest in nearly two-thirds of ZIP codes was in the Slow or Limited range.

Home Demand Index

The Bright MLS | T3 Home Demand Index for the Washington Metro area decreased 10.7 percent to 75, a level consistent with Slow buyer demand. The Index was 25.7 percent lower than one year earlier. Buyer interest in all types of Washington Metro area homes was lower in August. The Index for luxury condos decreased the most, falling 19 percent to 109, but was still higher than any other segment despite the decrease over the month. Demand was weakest for entry-level and mid-market single-family homes, both in the Limited demand category. 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 1.3 months for mid-market single-family to 2.9 months for luxury condos.

Home Demand Index | Historical Year-over-Year Comparison

Demand for homes in the Washington Metro area was down for the fourth consecutive month in August. The latest decrease in the Index was likely the result of the cumulative impact of higher mortgage rates and an ongoing shortage of homes for sale, both of which contributed to the lower Index reading in August.

Demand and Inventory by Home Type

Buyer interest in all types of Washington Metro area homes was lower in August. The Index for luxury condos decreased the most, falling 19 percent to 109, but was still higher than any other segment despite the decrease over the month. Demand was weakest for entry-level and mid-market single-family homes, both in the Limited demand category. 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 1.3 months for mid-market single-family to 2.9 months for luxury condos.