Home Demand Map

Demand for homes was strongest in Arlington County and Falls Church City with a Moderate level of buyer interest. Demand was Steady in Alexandria City and Slow or Limited in the other metro area counties. Buyer interest was Steady in the Maryland-West Virginia Panhandle area, Slow in Southern Maryland and Limited in North Central Virginia. In the Greater Washington area, demand in 14 percent of ZIP codes was in the High or Moderate range, up marginally from the month before. Demand in roughly three-quarters of ZIP codes was in the Slow or Limited category.

Home Demand Index

The Bright MLS | T3 Home Demand Index for the Washington Metro area increased 14.1 percent to 73, a level consistent with Slow buyer demand. Demand was in the Limited range in January. The Index was 5.2 percent lower than one year earlier. Buyer interest in all types of Washington Metro area homes was unchanged or higher in February. The Index for luxury single-family homes increased the most, rising 40 percent. Buyer interest was strongest for luxury condos, which attracted a Moderate level of demand, followed by luxury single-family homes with Steady buyer interest. Demand was weakest for entry-level and mid-market single-family homes, each with Limited buyer interest. The months supply ranged from 1.5 months for mid-market single-family homes to 3.9 months for luxury condos.

Home Demand Index – Historical Year-over-Year Comparison

Demand for homes in the Washington Metro area was up for the second consecutive month in February following a 4-month period of little change in activity. The most recent increase in the Index was the result of rising buyer activity as the spring market unfolds. The increase comes despite still-elevated mortgage rates, challenging affordability conditions and lean inventory in several segments of the market.

Demand and Inventory by Home Type

Buyer interest in all types of Washington Metro area homes was unchanged or higher in February. The Index for luxury single-family homes increased the most, rising 40 percent. Buyer interest was strongest for luxury condos, which attracted a Moderate level of demand, followed by luxury single-family homes with Steady buyer interest. Demand was weakest for entry-level and mid-market single-family homes, each with Limited buyer interest. The months supply ranged from 1.5 months for mid-market single-family homes to 3.9 months for luxury condos.