Checking In On The Maryland Real Estate Forecast For 2023

Whether you’re looking to buy a home or sell a home, you’ll want to read our Maryland real estate forecast for 2023.

We’re breaking down the numbers you need to know for Maryland real estate from 2020, 2021, and 2022. From there, we’ll be able to paint a picture of how the market is looking for this year.

Read on for our analysis of the coming year, and feel free to get in touch with us when you’re ready to talk about your Maryland housing needs for 2023.

Maryland Real Estate Forecast For 2023

What we saw in 2022 was a strong housing market that included both a limited supply and high demand, leading to house selling prices increasing regularly. 

For example, July 2022 saw the average home price in Maryland at a value of $406,436. That price is up 9.8% from the year before, and Zillow has a prediction of that trend continuing. 

Though we’ve all heard rumors of a recession and the market crashing, the truth is that the data is not reflecting these concerns. If anything, the market could be cooling slightly. Looking at July 2022 again, the price rose about 5.4% from the previous year, while the number of homes had decreased by 27%.

Our takeaway: The Maryland housing market is not seeing major declines or any signs of crashing. Sellers can still benefit from the supply of homes as it is now, as available properties for sale dropped from 13,307 in 2021 to 10,331 units in July 2022. 

Notes On Maryland’s Economy

Another important factor to consider when looking at the Maryland real estate forecast for 2023 is how strong Maryland’s economy will remain. We are pleased to report that it is doing quite well.

As we saw in 2021, the state’s GDP was $438.2 billion. That’s an increase over 2020’s $410.7 billion.

In order, the largest sectors were government, finance, insurance, real estate, and professional & business services. 

What’s more, the population is growing. As one of the top 25 fastest growing states (at #22 on the list), there will be more demand for housing to come. Maryland’s population at the last census was 6.1 million (#18 in the country), and it has grown by an average of 7% per decade.

Notes On Maryland’s Job Growth

Year-over-year jobs are up, too. In July 2022, Maryland jobs had increased by approximately 78,000, an increase of 3.0% over the previous year. With an increase of 4,700 jobs, the Professional and Business services sector experienced the most private sector growth. 

Last Year’s Housing Statistics By The Numbers

106,804 units were sold in Maryland last year at a median price of $361,000. Below you’ll find the relevant statistics for Maryland’s real estate forecast for 2023:

  • 106,804 units – units sold in 2021, up 10.5% from the previous year.
  • $426,388 – the average sale price, up 11.2% from the previous year.
  • $361,000 –  the median price, up  9.4% from the previous year.
  • 106,102 – total pending sales, up from 99,183.
  • 6,447 – active inventory, down from 10,385 units.
  • 0.7 – average months of, down from 1.3 from the previous year.
  • 7 – median days on market, down from 11.
  • 122,287 – new listings, up from 112,359

As the Maryland real estate market shifts, there are certainly plenty of opportunities. Specifically, homeowners in the Baltimore area should home in on the following data:

  • In 2019, 37,829 homes sold in the Baltimore metropolitan area. 
  • In 2020, 43,151 homes sold.
  • In 2021, 47,848 homes sold.

And as far as home prices go, the median home prices are increasing, too.

  • In 2019, the median home sales price in Baltimore was $284,260.
  • In 2020, the median home sales price in Baltimore was $309,000.
  • In 2021, the median home sales price in Baltimore was $335,000.
  • And in 2022, the median home sales price in Baltimore was $351,450.

The Maryland Real Estate Group For You In 2023

What are your home plans for 2023? If you’re looking for an evaluation from a local expert, want to know more about VA loans, or looking to move to a new home in Maryland, we’re here to help.

Team Alpha Charlie is a veteran owner of a Maryland real estate group with deep roots in the area, and we’re happy to chat with you further about your Maryland housing needs.