This is your monthly real estate market update for Anne Arundel County Maryland with James Bowerman and the Real Creative Group of Douglas Realty.
Anne Arundel County, MD Housing Inventory
Let’s take a quick dive into a few of the metrics for Anne Arundel Counties housing inventory.
Coming Soon: There are 106 homes coming soon to the market, which is 39 more than last month.
Active Listings: There are only 403 properties active for sale. This is 61 fewer homes compared to last month, and a 23% decrease compared to this time last year.
Under Contract: There are 1,181 homes under contract and no longer available to tour or purchase. This is 224 more properties compared to last month, but a 22% decrease compared to this time last year.
Homes Sold: There were 535 homes sold during the month of January. This is 376 fewer homes compared to December, and a 27% decrease compared to this time last year.
Anne Arundel County, MD Average Time on MarketThe average days on market for increased to 25 days, which is an increase of 2 days compared to last month, and 7 consecutive months of days on market increasing.
Anne Arundel County, MD Average Home PricesThe average home sale price in Anne Arundel County decreased 8% to $467,960 last month, but it’s still a 4% increase compared to prices this time last year.
Closing Thoughts on the Real Estate Market in MarylandIt would appear that there was a small correction in December, likely due to the holidays, where days on market increased, resulting in more price reductions and fewer homes sold.
However, that was barely even a blip on the radar as we entered into 2022. Inventory continues to go down to record lows as word of interest rates rising continues to spread. This is simply creating more demand from buyers, and they’re buying up everything that didn’t sell before the end of 2021.
Moving forward into February, we should start to see an uptick on inventory in Anne Arundel County as we near the Spring market. That said, don’t expect to see any major changes in the overall landscape anytime soon. With such little inventory, and such high demand, homes that are hitting the market are still selling for top dollar very quickly.
Looking back it would almost appear as if we were really in a Buyers market in 2019 and 2020, because of the equity gained by anyone who purchased during that time. Now, we are truly posed to be in a sellers market.
This new norm is bringing to light some new concerns for sellers. Buyers are coming out of the gate waiving inspections, paying for appraisal gaps, and removing almost every contingency possible in order to win.
With this new behavior, I’ve started to see a trend towards buyers remorse. Buyers are getting caught up in the excitement of a multiple offer situation, only to realized that they may have bit off more than they can chew once the adrenaline subsides. This is something I’m certainly advising my clients on when it comes to reviewing offers, as well as some extra due diligence when it comes to qualifying all of the parties involved.
Buckle up 2022 is going to be a hell of a ride in the real estate industry!