DC-Area Home Sales Pop In October, But The Surge Won't Last

• November 12th 2024

by UrbanTurf Staff

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The DC region saw home sales rise significantly in October, an increase that will likely be short-lived. 

There were just north of 4,200 home sales in the metro area last month, according to the latest report from Bright MLS, up 18% compared to October 2023. Similarly, pending home sales rose 15%. 

The surge in home sales was likely the result of two things: lower interest rates and more inventory on the market. The number of homes for sale at the end of October was 15.5% higher than a year ago, and supply has now risen for nine months in a row. 

While the increase in home sales is good news for the housing market, rising mortgage rates and stubbornly high home prices may stifle any momentum. Home prices in the region are now hovering around $600,000, up 5.6% compared to last year and 0.2% from September. 

"Volatility in mortgage rates through the end of the year could cause some prospective buyers and sellers in the Washington D.C. region to pause, waiting for more stability in 2025," Bright MLS economist Lisa Sturtevant wrote in the report. "Affordability is a growing challenge as home prices continue to rise, keeping some buyers, particularly first-time buyers, on the sidelines."

This article originally published at https://dc.urbanturf.com/articles/blog/dc-area_home_sales_pop_in_october_but_the_surge_wont_last/22912.