DC home prices shattered their all-time record in May as the regional housing market continued its roller coaster ride as a result of the effects of COVID-19.

The median home price in DC came in at $660,000, a whopping $25,000 higher than the previous record for the city of $635,000 set last December. The median price for the DC area hit $500,000, just below the record high for the region. In Alexandria,  single-family home prices hit a record of $964,000 and for the same property type in Prince George’s County, home prices hit an all-time high for the third month in a row.

Median home prices in May. Click to enlarge.

These skyrocketing prices are largely the result of a severe drop in homes for sale that is not matched by a similar drop in buyer demand.

The inventory of homes for sale in the DC region was 32 percent lower last month than in May 2019, with new listings dropping off by double digit percentage points in every local jurisdiction.

While the number of homes to go under contract in the DC region fell precipitously in the wake of the pandemic, things significantly bounced back in May. The number of homes to go under contract in the region jumped 34 percent between April and May, with a 61 percent rise in DC proper and a 44 percent jump in Montgomery County.

SOURCE: UrbanTurf