Maryland’s August 2021 Housing Market Continues to Grow, While Showing Improvement between Demand and Supply
Maryland’s August 2021 housing market continued its trajectory in sales figures with average prices rising 8.4% in 2021 to $435,798 and median prices rising 10.3% to $375,000. Months of inventory stood at 1.1, matching July 2021, yet down from last year’s figure of 1.8. The number of units sold rose 2.9% to 9,740, versus 9,462 in 2020.
“As this market continues to grow, August’s data suggests that it’s easing a little, becoming more friendly for first-time homebuyers,” said Dee Dee Miller, Maryland REALTORS® President. “We’ve watched the 2021 average sale price inching closer to 2020’s figure, from 19% in May to 8.4% this August, while at the same time witnessing months of inventory move from 0.9 to 1.1. With prices rising more slowly, it opens up additional possibilities, whether it’s a first-home purchase, second home, or even a move across town.”
The National Association of REALTORS® (NAR) has witnessed an easing within the market as well across the United States. According to its latest Weekly Sales Monitor, housing demand is easing while supply shows signs of improvement, narrowing the demand-supply gap. This has moderated the pace of price appreciation, according to NAR research.
“It’s a promising sign,” said Miller, “and while inventory remains tight with houses on the market for only a week before they’re purchased, there’s more that needs to happen to increase housing opportunity for all in Maryland.”
Source: Maryland REALTORS®
What the Terminology for the Maryland REALTORS® Monthly Statistics Means ...
The monthly housing statistics are presented as reported by Bright MLS:
“Units” category represents sales settled in that month
“Pending Units” category includes units currently under contract, which will settle in the future
“Active Inventory” includes units that remain on the market
Average sales is the weighted average of sales prices in the county, calculated by weighting the price of homes by the number of homes sold.
Weighted average Maryland price is the average price, weighted for all 24 Maryland jurisdictions by the number of homes sold.
Median price is the middle value of the prices of all homes sold in the period—the price at which half the sold homes are above and half are below in selling price. The median price for home sales in each Maryland jurisdiction is estimated, because Bright does not provide this level of detail.
Median price for the whole state is calculated by using the simple unweighted averages to calculate a state weighted average for all 24 Maryland jurisdictions and establishing a median value through appropriate weighting techniques.