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Harford Route 40 Corridor Real Estate Smackdown!
By Scott
March 21, 2017

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
Increase (decrease) -11.10% -36.36% 20.00% 80.00%
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
Absorption Rate 5.3125 7.428571429 2.375 3.833333333

 

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 scott@highpowerrealty.com