LOWER EASTERN SHORE, MD – 2020 is over and for most of us it will be a year we never forget. Americans have dealt with a lot of change over the last 12 months and the housing market has been changing with them. Over the last 12 months the average home in our area has increased in value by 21.8% since December of 2019. However, it is the lack of inventory that dominates all our discussions when it comes to the housing market. At the end of 2020 we have less than half of inventory then we did at the end of 2019, and close to 60% less than our 5-year average.
In all three counties throughout December, new settlements were up 55.9% compared to the same time last year. Individually, new settlements throughout December were up by 53.8% in Wicomico, 65.1% in Worcester and down 3.8% in Somerset.
New listings December were up by 33.6% compared to the same time last year in all three counties. However, demand is still incredibly high, and inventory continues to drop and is 22.2% lower than November 2020. Individually, new listings were up by 30% in Worcester, 28% in Wicomico and 118.2% in Somerset from December of 2019.
Active listings in all three counties were down by 53.2%. Individually, there were 361 active listings in Worcester, 185 in Wicomico, and 80 in Somerset.
The average Cumulative Days on Market (CDOM) for December was 46, or 43.9% less than the same time last year. Over the last 5 years the average DOM was 82 for December. The median sale price for the Lower Shore dropped a little in December to $263,000 which is still 21.8% higher than this time last year.
“Inventory is the key driver of our market, and right now we don’t have enough to satisfy all of the buyers out there” said CAR President Joni Martin Williamson. “2020 has been a tough year for everyone but it provided a lot of people the opportunity to become homeowners or move to this area where they can enjoy a better quality of life. Interest rates are historically low, giving many Americans the chance to own their dream home for less than ever before. We should be talking about affordable housing and creating new inventory to make sure we can keep up with demand and make the dream of home ownership attainable to everyone,“ said Williamson.
CAR’s monthly local housing statistics are pulled from the Bright Multiple Listing Service, which represents the activity of over 1,000 local REALTORS® in Somerset, Wicomico, and Worcester counties, as well as 95,000 real estate professionals across the Mid-Atlantic region. The Bright MLS service area includes Maryland, Delaware, New Jersey, Pennsylvania, Virginia, Washington, D.C., and West Virginia.
Visit www.coastalrealtors.org for more information.
