LEMOYNE, PA — The Pennsylvania real estate market experienced a significant 16% decrease in listings in December, according to a report prepared for the Pennsylvania Association of Realtors®. The number of listings fell from 34,394 in November to 29,215 in December, highlighting the ongoing challenge of inventory for potential homebuyers.
“Listings are down 21% compared to the previous year,” said PAR President Preston Moore. “In 2020, there was an annual average of 59,493 listings on the market and in 2023, the average number of listings dropped to 34,286.” This indicates a mere 2.94 months’ supply of homes last month, a factor that can potentially impact the state’s housing market dynamics.
While the median price slightly fell in December to $213,699, down from $218,380 in November, it still shows a 9% increase year over year. This reflects a rising trend, with the annual median home sales price increasing 25% since 2020.
“The median price was $168,152 in 2020 and has risen to $216,893 in 2023, illustrating how owning a home is a good, long-term investment to build generational wealth,” Moore pointed out.
However, the number of sales in December declined to 8,966, down from 9,130 in November, and a 7.2% decrease from 2022. When compared to 2020, sales are down by a considerable 25%.
“The drop in sales is reflective of the overall low inventory,” Moore added. Despite the decline in sales, interest from potential homebuyers remains strong, fueled partially by slightly declining mortgage rates.
In such a complex market, Moore emphasized the crucial role of realtors in helping consumers navigate real estate transactions.
For Pennsylvania real estate insiders, these numbers underscore the need for strategies that address the inventory challenge while capitalizing on the strong homebuyer interest. Furthermore, the rising median price signals a promising investment opportunity, underscoring the importance of real estate as a tool for building generational wealth.
For the latest news on everything happening in Chester County and the surrounding area, be sure to follow MyChesCo on Google News and MSN.