HUGHESVILLE, Md. –– Mirroring several national trends, Southern Maryland saw the housing market cool down last month, with high mortgage rates and home prices proving too much for buyers. 

Data collected by the Southern Maryland Association of Realtors® shows that home values increased significantly compared to last year.

The region’s median sold price was $389,000, up roughly 2.37% from 2021. This is a total median price increase of approximately $9,000.

The number of units sold for the month dropped significantly by roughly 27.16%. This is a major contributor to the decreased sold volume, which saw a monthly drop of about 22.83% or over $66 million.

The market cool-down is even more evident by the increased average days on the market compared to last year. Homes are staying on the market for an average of 24 days in Southern Maryland, an increase of roughly eight days from last year.

Additionally, the market faces a strong number of active listings, up 27.08% from last year. However, new listings have dropped off somewhat, seeing a decline of approximately 20.27% from 2021.

Pending home sales have also seen major drops, down roughly 39.82% compared to last year.

In continuation of last month, buyers appear to be gaining leverage in negotiations, as the average sold price to original list price ratio continues to drop below 100%. The current ratio of 97.9% means that homes are selling on average for less than they are being listed at, and this is a decrease from last year when it was roughly 100.4%.

“The Federal Reserve has indicated interest rates shall not decrease shortly as it continues to mitigate a recession,” SMAR 2021-22 President Gregg Kantak said. “Despite rising interest rates and potentially impacting buying power, buyers should expand their focus and creativity in their selection and forge ahead into home ownership. A buyer should now consider a longer commute, a fixer-upper, less square footage, and the like. After all, it is always more important to begin building personal wealth, and that journey begins with real estate.”

Housing market statistics from each county in the Southern Maryland region can be found below:

Calvert County

  • Units Sold: 145 (-13.17%)
  • Total Sales Volume: $ 67,546,128 (-6.92%)
  • Average Days On The Market: 26 (+5 Days from September 2021)
  • Median Sold Price: $389,000 (No Change)

Charles County

  • Units Sold: 219 (-37.61%)
  • Total Sales Volume: $ 95,067,134 (-34.13%)
  • Average Days On The Market: 21 (+7 Day from September 2021)
  • Median Sold Price: $405,000 (+2.53%)

St. Mary’s County

  • Units Sold: 151 (-20.11%)
  • Total Sales Volume: $ 60,981,884 (-16.31%)
  • Average Days On The Market: 25 (+9 Days from September 2021)
  • Median Sold Price: $365,000 (+6.73%)

Statistics for this article were compiled with cooperation from Bright MLS, a leading housing market data source and a real estate listing service for Realtors® throughout the region.

Leave a comment

Leave a Reply