Sellers Maintain Control in the Mid-Atlantic Housing Market: Insights from Bright MLS

As an expert Realtor in Tampa, I believe it’s crucial to stay informed about the latest trends in the real estate market. According to a recent report from Bright MLS, sellers in the Mid-Atlantic region are holding strong positions in home sales. In this blog, we’ll delve into the key findings of the report and discuss the implications for buyers and sellers in today’s market.

Sellers Experience High Demand: Bright MLS’s monthly market report for May reveals that sellers who closed on their homes in April received an average of 3.5 offers. Impressively, 53.5% of these sellers ended up closing at a price higher than their original asking price. On average, the offers accepted above list price were 5.5% higher than the initial listing price.

Family Reasons Prompt Listing: The report also highlights that family-related changes played a significant role in sellers’ decisions to list their homes. Almost one out of five sellers stated that family reasons, such as marriage, divorce, having a child, or desiring proximity to loved ones, influenced their choice to sell. Additionally, estate sales or homes of deceased owners accounted for 11.1% of transactions in April.

Market Outlook: While the housing market remains competitive, the report indicates that real estate agents are less optimistic about the summer housing market compared to a month ago. Respondents expressed a less upbeat outlook for the market three months from now.

Key Highlights:

1. Demand for Three- and Four-Bedroom Homes: The most significant competition is observed in the $300,000 to $499,999 price range for three- and four-bedroom homes. Limited inventory in this range, coupled with high demand from both first-time buyers and move-up buyers, contributes to the competitive market conditions.
2. Homes Sold Above List Price: Homes sold above the list price tend to go under contract much faster than those sold below the original asking price. The average time to contract for homes sold above list price is five days, while homes sold below list price take around 15 days.
3. First-Time Homebuyers: Approximately 46.1% of buyers in the Mid-Atlantic region were first-time homebuyers in April. This percentage remains consistent with previous months and exceeds the national share reported by the National Association of Realtors (NAR). The majority of first-time buyers (60%) purchased three-bedroom homes, with 40% buying homes below $300,000.
4. Limited Inventory and Increased Competition for First-Time Buyers: Due to limited inventory and competition from all-cash or conventional loan offers, first-time buyers are facing heightened competition. As a result, 53.3% of first-time buyers paid over the asking price, compared to 49.3% of repeat buyers.
5. Market Outlook: Agents express confidence in strong buyer activity over seller activity. Around 47.2% of survey respondents anticipate “high to very high” buyer activity in the next three months, while only 6.9% expect the same level of seller activity. The low inventory and limited new listings contribute to this trend.

Conclusion: The Mid-Atlantic housing market continues to demonstrate seller dominance, with multiple offers and prices often exceeding the original asking price. Limited inventory and strong buyer demand characterize the current market conditions. For buyers, it’s essential to remain competitive, while sellers can take advantage of the favorable conditions to secure profitable deals. To navigate the dynamic real estate landscape successfully, connect with me a real estate professional who understands the market conditions and I can guide you through the process.