Washington, D.C. Metro Housing Market Report – May 2025

Home prices hit a new record high in the Washington D.C. region. Despite rapidly-rising inventory, the median home price was up 3.1% compared to a year ago, hitting a new record high of $659,950 in the D.C. region. Home prices rose in all major markets, with the exception of Frederick County, MD. Home sales had been sluggish throughout the spring, as announcements of federal government layoffs mounted and economic uncertainty increased. In May, there was a total of 4,790 closed sales across the region, which was down 6.5% compared to last May. However, there still appear to be active buyers in the market. New pending sales were up 3.5% over last year and rose by 6.5% from April. Buyers appear to be taking advantage of increased inventory. At the end of May, there were 10,413 active listings, a 41.6% increase over a year ago. The number of new listings coming onto the market surged earlier this spring, though new listing activity was only up by 0.4% year-over-year in May.

 

 

The Washington D.C. area housing market has been slowerthan-typical this spring, but it has fared much better than some expected in the face of cuts to the federal workforce and general economic uncertainty. It may be too early to see the impacts of job cuts as more people will make decisions about buying and selling as we get past the end of the school year and into the summer.

 

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