Prince George's County, Maryland
March 2025 Market Watch

Landover, MD, April 2025 - The Prince George's County Association of REALTORS^® (PGCAR) reports a dynamic start to the Spring Housing Market. Closed Sales climbed 15.2% and Pending Sales soared 30.7% in March compared to February, signaling strong buyer demand for County homes despite national economic uncertainty. With the Consumer Confidence Index falling by 7.2 points, Prince George's County is defying national trends, bolstered by its diverse economy, high-quality housing, and long-term buyer appeal. Whether for first-time buyers, downsizers, or investors, the County continues to offer value, stability, and opportunity. The 2025 Spring Season is off to a hot start!

March's Total Home Sales Volume (Closed Sales times Average Sold Price) increased 12.3% month-over-month to $262.2 million, driven by a 15.2% rise in Closed Sales. Notably, County home sales have grown in five of the last six months - a rare trend as that 6-month period includes mostly fall and winter months. Stabilizing mortgage rates while more sellers and newly built homes enter the market are unlocking latent demand. This underscores the county's strong and consistent buyer demand, still being held back from the limited supply of "for sale" homes.

• Home Values Hold Steady: March Average and Median Sold Prices held steady from 2024 while the Average Sale Price decreased 1.5% and Median Sale Price decreased 3.3% month-to-month. Looking deeper into the data, Average and Median Price per Square Foot both increased 2.9% over 2024, and gained 1.6% and 2.5% respectively over February, indicating continued appreciation and market strength when homes of the same size are compared. An encouraging trend may emerge: more homes in the $250,000 - $350,000 range are coming to market, addressing a multi-year inventory crunch in the affordable segment. Critically low inventory in the under $350,000 home market has severely impacted the opportunities for first-time homebuyers over several years now.
  
  
• Sales Activity and Buyer Demand: March saw an astonishing 30.7% month-over-month growth in new contract activity with 822 New Pending Sales. Closed Sales totaled 591, a 15.2% gain over February and 13% drop from 2024. Our County's Total Contract Activity of 1,413 home contracts either settled or pending (591 Closed Sales plus 822 New Pending Sales) exceeded Active Listings (averaging 1,301) by 8.6% in March. The monthly increase and comparing sales activity to home inventory both attest to strong market demand.
  
  
• Inventory Trends: While inventory remains constrained, March saw a welcome 11.8% month-over-month increase to 1,301 Active Listings, partially reversing previous declines. After plunging 44.4% between October and December 2024, New Listings continue to rebound. Months of Supply increased slightly from 1.58 to 1.78, meaning that if no new listings were added, the current inventory would be sold in 1.78 months.
  
  
• A Balanced and Resilient Market: March market data reveals continued strength, high homeownership demand, and a solid foundation for 2025. If inventory continues to expand, sales are expected to follow suit. The March Contract Ratio was 0.92 (Pending Contracts per Active Listing), indicating a balanced market where buyers and sellers are on relatively equal footing. With expanding inventory, buyers have slightly more time to make decisions and a wider range of home styles and pricing, yet sellers continue to benefit from strong pricing power.

While inventory grew modestly, a tight supply keeps the market competitive, with homes selling at an average of 99.6% of their Original Listing Price. Homes continued to move quickly, with a Median Days on Market (DOM) of 19 days - well below the national median of 44 days. The Average DOM in Prince George's County was 34 days, significantly faster than the national average of 53 days.

Market Performance Snapshot

© 2025 ShowingTime. Data provided by Bright MLS.

Expert Insights: Strength and Opportunity in Prince George's County

Arnita Greene, PGCAR President and REALTOR^® with Capital Structures Real Estate, proudly reports on Prince George's County's hot Spring Market and long-standing market strength: "We continue to see value appreciation, quick sales, and robust contract activity. With mortgage rates stabilizing - expected to stay close or under 7% - 2025 is shaping up as an excellent year for both buyers and sellers."

Greene further emphasized the county's long-term growth trajectory: "Prince George's County's Total Market Volume has grown in seven of the last nine months, with gains ranging from 5% to 29.1%. As inventories begin to increase, that improves home availability and successful home shopping experiences for buyers, which encourages more sellers to also enter the market.

Nationally and locally, uncertainties encompassing the stock market, possible inflation increases, and other economic headwinds have made consumers and businesses more cautious about purchases and investments. In contrast, home sales are typically resilient through economic uncertainty. In fact, many potential homebuyers are motivated to act more quickly to become homeowners as headwinds appear. Key motivators for today's buyers include:

1. Predictable mortgage payments vs. rising rents
2. Equity growth and wealth-building potential
3. Desire to act before rates rise further
4. Long-term investment security over 10+ years

"Homeownership offers stability during uncertain times," Greene explains. "It's more than a place to live - it's a smart financial move."

The current environment opens great opportunities for home buyer and sellers. While increased inventories allow buyers slightly more time to research and consider home options, the median time between a home listing and contract is only 19 days. Additionally, March Closed plus Pending Sales exceeded the average available listings by 8%, reinforcing the county's tight inventory and strong demand. Moreover, our County boasts an extraordinary combination of affordability, quality of life, home sellers, buyer and investment opportunities above and beyond other locations in the Maryland-Washington DC-Northern Virginia region. With such strong advantages to Prince George's County homeownership, now is a great time for buyers and sellers!"

Strategic Timing for Buyers and Sellers

Greene concludes, "Now is an exceptional time to sell or buy in Prince George's County! Homes are selling at 99.6% of their Original Listing Price and at a rapid pace. Buyers and sellers, connect with a REALTOR^® to discuss YOUR home purchase and sale options. A REALTOR^® can help sellers maximize returns by strategically positioning homes in a competitive market. Buyers should work with a REALTOR^® to evaluate and secure the right home at the best value. Your REALTOR^® can also connect you with financing experts, to make the most of favorable homeownership savings programs, mortgage options and interest rates. Let a REALTOR^®'s expertise guide you efficiently and confidently through the myriad of details and steps to a successful purchase or sale!"

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