Montgomery County Leads Uptick in July Home Closings
Month sets a record for the past decade in Washington region
Image via Flickr: freeimage4life (CC BY 1.0)
Closed sales in the Montgomery County home-buying market rose in July, according to market data released Thursday.
Closed sales jumped 8.1% in the county, part of an overall trend that saw the Washington region set a July record for the past decade at 5,282 closings, according to a report by real estate listing service Bright MLS.
The July 2019 mark topped the previous high in July 2015 by 57 sales and was the third consecutive year of July increases following a dip from 2015 to 2016.
The July totals were “a bit of a recovery” from May and June, as closings had fallen year over year in both months, according to the report.
Closed sales were up in Fairfax County and flat in Prince George’s County, according to the report. Bright MLS Vice President of Marketing and Communications Chris Finnegan attributed the growth to higher costs in Washington, D.C., shifting the market to cheaper areas.
“Escalating prices in the District, where median sales prices were up 4.0% in July, seem to be having a ripple effect in the surrounding areas where more people are looking for lower priced options,” Finnegan said in a statement.
Median home prices rose slightly in the county, up 3.3% from July 2018, but the year-to-date price in 2019 is just 0.6% higher than 2018.
Median sales prices in the region rose for the 34th straight month in a year-over-year comparison, up $15,000 from July 2018 to $470,000.
Sales prices of condominiums, townhomes and single-family detached homes all rose year over year in July across the region, led by condos at a 4.2% increase. Finnegan has said condos and attached housing “are especially hot” right now and stand out in areas near Washington, D.C., such as Silver Spring.
The 1.7% increase in single-family detached home prices was the first bump in the past three months, according to the report. Townhome sales rose a bit, by 0.07%.
Pending sales increased 6.3% in the county and 3.2% in the region. Low-volume Fairfax City led all jurisdictions with an increase of 168.0%, though that only represents 67 pending sales. Montgomery County was third in the region in total pending sales at 1,283.
Pending sales are properties no longer on the market because the seller and a buyer have agreed on a deal.
Listings were down 5.2% across the region, the fifth year-over-year decline in the last six months, according to the report. Listings in the county fell 0.8%, though that was the smallest decline in the region. Only Fairfax City experienced a year-over-year increase.
Charlie Wright can be reached at firstname.lastname@example.org