The outcome in Edgewood has mirrored the rest of the Baltimore metropolitan area real estate market, but there are some slight differences from January of 2017. I will point out that while we have a new presidential administration which will cause some changes to the economy eventually, none of them are evident quite yet; most of the people that bought a home in Edgewood that month were already in the market when they closed on their property.
The total sales volume was a modest $3.2 million in sales for the month, but it was an increase of almost 19% over the same time in the first month of 2016. This leads into the number of sales for the month which was unchanged over the comparison period. Ok, get your algebra ready: if the dollar sales volume went up and the number of homes that sold stayed the same, what does that mean? That’s right, the selling price for each home went up as well (Sorry, I don’t have a prize for correct answers).
What does that tell us about the real estate market in Edgewood, MD? Well, it says the same as it does for quite a few other markets in the area; that prices are escalating quickly. The reason is that the number of homes on the market has dropped drastically, and in Edgewood, it looks like inventory is at a bare minimum (kind of like how restaurateurs keep their fridges empty at the end of the month). Last January when recorded, there were 103 homes on the market in Edgewood, MD, and at the same time this year, there were only 60 active listings in Edgewood! That’s a drastically different level of choice. It’s like going to Nordstrom’s to shop for a winter jacket in July.
What are the solutions? Well, it depends on who you ask! Someone that currently owns a home could think about selling this year, taking the opportunity to move into their next property since prices have been pushing upward (they won’t do this for long; don’t you want to be one of those people that can brag about how much you got for your home when you sold it!). The next question you’re going to ask is “how much can I get for my house (yes, I am psychic, but don’t worry about that right now, let’s focus!)?” I can give you a detailed home pricing analysis when you’re ready to get the ball rolling, but in the meantime, I have access to am internet-based home pricing tool that you can use with no obligation. Just visit www.route40realestate.com and enter your information; when you’re done a well-composed home valuation will make its way to you.
If you have any other questions on buying or selling, feel free to give me a call at (443) 866-6728 or email email@example.com.
Below is a picture of the highest-priced sale in Edgewood, MD in January 2017, located in the Forest Oaks community, which changed owners at a price tag of $262,000.
Have you wondered lately about how the real estate market in your area is doing? How about how it compares to some of the neighboring zip codes? We decided to check that by comparing what some would consider the most similar markets within Harford County, based mostly on their positioning along the route 40 corridor, quality of school systems (based on ratings, not my opinion!) and general amenities. Also, please note that this only represents the market for these respective locations for February of 2017, and that we do compare it to how well it did during the same time last year. The locations included in this smackdown are Aberdeen, Edgewood, Joppa and Havre de Grace.
There has been a lot of concern about the Aberdeen, MD real estate market lately, but I do think its temporary. The market did perform poorly in February, with only 16 homes changing owners, which is an 11.1% drop from last year. The total sales volume was modest at $2.7 million, and it took 95 days on average to sell a home. The absorption rate, which is a metric that indicates how long it would take to clear the existing inventory, is 5.3 months (a very healthy market is considered 4 months or less).
Havre de Grace, MD real estate seems to have suffered the same fate. Only 14 homes got new owners, which was a 36% drop from last year. Despite that, the dollar volume was the strongest in our competition, finishing at $4.25 million. The most glaring issue was that it took 156 days for a home to sell, and that there are still 104 active listings; this brings the absorption rate to a concerning 7.5 months.
The Edgewood market has been on a roll with 24 sales in February, an increase of 20% over last year. The total dollar volume was lower than Havre de Grace at $3.17 million, which was due to the lackluster average sales price of $132,000. Despite the lower prices, the absorption is down to 2.375 months, meaning that the market is moving at a faster clip than most.
Finally, we’ll take a look at the town at the southern end of the county. Joppa is a bit different than most; the homeownership rate is always high at over 80% (the average is around 65%), and people tend to stay in one place longer. However, the number of sales jumped from 10 in February of 2016 to 18 in the same month of 2017, an 80% spike! The total dollar volume was just behind Havre de Grace’s at $3.97 million, and the average sales price was the highest at $220,614. It did take a while to sell a home in Joppa, with the average days on market at 124, but the absorption was just under 4 months, showing the signs of an attractive home selling opportunity.
|Stat Description||Aberdeen||Havre de Grace||Edgewood||Joppa|
|February 2017 Unit Sales||16||14||24||18|
|Total Dollar Volume (in mil)||$2.70||$4.25||$3.17||$3.97|
|Avg Sales Price||$168,406||$193,209||$132,074||$220,614|
|Days on Market||95||156||80||124|
|# Active Listings||85||104||57||69|
|# Under Contract||55||47||52||45|
So who wins the smackdown? Well, the sluggishness in Havre de Grace and Aberdeen immediately rule them out, so then it’s a duel between Edgewood and Joppa, and even though Edgewood has a much lower absorption rate, the combination of average sales price and absorption in Joppa is too much to overcome, so that will have to be our winner!
Have you been thinking of selling? If you have a home along the route 40 corridor (or anywhere in Maryland, for that matter), I’m giving you the opportunity to get an exclusive home pricing analysis by going to www.route40realestate.com. Enter your information along with details about your home and sit back and wait for your home value to come your way. When you need more detailed information, don’t hesitate to contact me at either (443) 866-6728 or by emailing firstname.lastname@example.org.