Number of Home Listings Dips 16% in December

The Pennsylvania real estate market saw a 16% decline in listings in December compared to the previous month. According to the monthly report prepared for the Pennsylvania Association of Realtors®, December listings totaled 29,215, down from 34,394 in November.

Most of your markets are experiencing a tight inventory, which has continued to be a challenge for potential homebuyers. Listings are down 21% compared to the previous year. In 2020, there was an annual average of 59,493 listings on the market and in 2023, the average number of listings dropped to 34,286. Our report also shows a 2.94 months’ supply of homes last month, while experts consider a six months’ supply to be a balanced market.

The median home price fell slightly in December, hitting $213,699, down from $218,380 in November. However, prices are still up 9% year over year.

Looking at the past several years, the annual median home sales price has increased 25% since 2020. The median price was $168,152 in 2020 and has risen to $216,893 in 2023, illustrating how owning a home is a good, long-term investment to build generational wealth.

The number of sales in December declined to 8,966, down from 9,130 in November and down 7.2% from 2022. However, sales are down 25% compared to 2020.

The decline in sales reflects our overall low inventory. Most Realtors® I speak with are seeing strong interest from potential homebuyers. But we are still seeing some multiple offers on homes.

In this complex market, it’s important for Realtors® to explain how we can help consumers navigate the real estate transaction.