How We Gauge Trends: Key Metrics

• Median / average home prices and appreciation rates

• New listings, inventory, and months of supply

• Number of closed sales / market volume

• Days on market / time to pending / speed of sale

• Regional variation (e.g. Southeast PA vs Pittsburgh area vs Central PA)

• Interest rates, affordability pressures, and local policy influences

Price Trends: Still Upward, But Softening

Statewide Momentum

The trend in Pennsylvania continues to be positive for home values, though the speed of appreciation is cooling from the breakneck years of 2020–2022. According to Redfin’s state-level data, as of April 2025, median home prices in Pennsylvania were up about 7.4% year over year, and by August 2025, prices remained elevated—around $324,500, representing ~5.1% year-over-year growth.

Zillow, meanwhile, places the average home value in Pennsylvania closer to $281,783, reflecting a 3.3% one-year gain, though Zillow’s metrics tend to smooth volatility and reflect a broader mix of housing types and markets.

Other local reports paint a similar picture of continued, though more moderate, gains. The Pennsylvania Association of Realtors (PAR) reports that in April 2025, the statewide median sales price reached ~$295,000—a 7.2% gain over the past year.

In Central Pennsylvania, the April 2025 market report showed a median sold price of $285,850, up 5.9% from April 2024.

These figures show that despite some drag from affordability constraints and rising mortgage rates, home prices in many parts of Pennsylvania are still pushing upward in 2025.

Regional Nuance

Not all parts of the state are behaving identically. For example:

• Bucks County and Montgomery County (southeastern PA): In July 2025, Bucks County’s median sold price climbed ~4% year over year to $515,000; Montgomery County saw a 10.6% jump to $500,000.
  

• Berks County: Also in July 2025, median price rose ~8.8% to $310,000.
  

• Philadelphia County: The median sold price held relatively stable (~$280,000) and was unchanged year over year in that month; sales volume was softer and listings increased.
  

• Pittsburgh area: Median prices are more modest. In April 2025, Rocket’s local report placed Pittsburgh's median at ~$254,724, up ~5% from a year prior, and noted an average listing age of 53 days.

• Wider reports state that homes in Pittsburgh took ~50 days to sell in mid-2025, down relative to 57 days in prior periods.
  
  

Inventory, New Listings & Supply Side

A major constraint in recent years has been low inventory—but in 2025, supply is finally nudging upward in many areas.

• According to data, Pennsylvania had ~44,069 homes for sale in August 2025, up ~7.3% year over year.
  

• However, months of supply remain low—around 2 months of supply for all home types.
  

• In Central Pennsylvania in April 2025, active listings were 3,468 (a 16.8% increase vs prior year), and months of supply stood at ~1.54 months.
  

• New listings in Central PA in April were ~2,980, up 6.9% over April 2024.
  

• The PAR statewide data also confirms that listings and inventory are rising, though they caution the pace is uneven across counties and markets.
  

• In Southeastern counties, inventory has seen sharper jumps—in Bucks, active listings rose ~14.4% year-over-year in July 2025.
  

Sales Volume & Market Activity

• In Central PA, closed sales in April 2025 were 2,123, up 4.9% over April 2024.
  

• Year-to-date through April, total closed sales were up 3.5% in that region.
  

• However, some county markets are experiencing softer momentum. In Philadelphia County, July 2025 saw a 4.9% drop in home sales year over year.
  

• In the broader Southeastern PA markets, sales are relatively stable, but the pace of new pending contracts is more variable across ZIPs and price bands.
  

• In certain western and central zones, buyer demand is more cautious given interest rate pressures and affordability constraints, meaning even with more inventory buyers aren’t always pulling the trigger as quickly.

Time on Market: How Long Homes Are Lingering in 2025

One of the most telling barometers of market heat is how long homes stay listed before going under contract or being taken off the market. In 2025 across Pennsylvania, we’re seeing more variation, and in many places, the days on market (DOM) are lengthening modestly.

Statewide & Aggregate Signals

• Pennsylvania's statewide data shows that as of April 2025, the median days on market was ~30 days.
  
  

• As of August 2025, that metric had risen to ~32 days—a 3-day year-over-year increase.

• FRED’s data from Realtor.com shows that the median days on market in Pennsylvania (not seasonally adjusted) reached ~50 days in September 2025.
  

• At the same time, national trends show that median Dom is rising: in May 2025, homes nationwide spent ~51 days on the market (6 days more than the prior year) and in July 2025 the national median was ~58 days (7 days longer).
  

These shifts suggest that while homes are still moving, they're doing so more slowly in many markets compared to the era of frenzied bidding wars.

Regional & Local Markets

• In Pittsburgh, April 2025 data showed an average listing age of 53 days.
  

• In June 2025, the data also broke down timing in Pittsburgh: ~60% of homes sold within 30 days, ~30% in 30–90 days, and ~10% beyond 90 days. Their average listing age was 37 days—up ~2.3% from the prior year.
  

• There were similar reports that homes in Pittsburgh were selling in ~50 days mid-2025.
  

• In Southeast PA / Bucks, Chester, Montgomery, Berks etc., homes are still selling faster in many cases:

  • In Bucks County (July 2025), median days on market was just 7 days—matching prior-year pace.

  • In Berks County, median DOM was ~6 days (unchanged).
    

  • In Chester County, the median DOM was ~6 days, one day longer than the prior year.
    

  • In Philadelphia County, the median DOM was ~21 days in July 2025—4 days longer than a year earlier.
    

• In Central Pennsylvania, the April 2025 data showed a median days on market of just 7 days (same as April 2024). But the year-to-date metric showed median days on market of 11 days (vs 10 days prior year).
  

This wide spread reflects the nature of the Pennsylvania market: in high-demand, well-located southeastern suburbs, the DOM remains very short (days, sometimes under two weeks). In more rural, less trafficked, or lower-demand regions, homes may sit a month or more.

In general, here’s how days on market look across the spectrum in 2025:

What’s Driving the Shift — And What It Means

Elevated Financing Costs & Affordability Constraints

Mortgage rates remain significantly above the ultra-low levels of the early pandemic years. This increases monthly carrying costs for buyers and reduces how much they’re willing—or able—to bid. In some higher price ranges or more expensive suburbs, buyers are pulling back or being more selective, which slows the pace of deals and elevates DOM in those segments.

Inventory Coming But Still Constrained

As inventory creeps upward, buyers have more choices—and when there are more competing alternatives, homes take a bit longer to stand out. That said, the wettest bottleneck remains the unwillingness of many homeowners to move because they’re locked into extremely favorable mortgage rates. That “rate lock” effect continues to restrain supply in many stable communities.

Pricing Pressure & Overpriced Listings

Homes priced aggressively—above what current demand supports—are the ones most likely to languish. In slower-growing markets or outer-ring areas, overreach tends to be penalized via longer DOM or price cuts. Buyers are more discerning now, and unwilling to stretch just to win.

Local Economic & Demographic Factors

Markets closer to job centers, transit, and amenities still attract outsized demand; others further out or lacking infrastructure are more sensitive to shifts. For example, southeastern Pennsylvania remains relatively insulated due to stronger demand, job growth, and commuting access. Meanwhile, more rural or less-connected regions can see more dramatic shifts in DOM or buyer traffic.

Policy, Zoning, and Construction Supply

In some counties, efforts to streamline permitting, increase multi-family zoning, or boost infill development may help modestly improve supply—but such policy levers take time to show impact. Until new construction comes online at scale, most of the market depends on existing inventory and resale dynamics.

Buyer Behavior & Expectations

Buyers are increasingly cautious: many are waiting for rate relief, hunting for “price drops,” or being more surgical in their offer strategies. This cautious mindset slows velocity. On the flip side, sellers who expect peak-era pricing may hold out, pull listings, or re-list later—adding to inventory churn without reducing average time to contract dramatically.

What to Watch & What It Means

Given the trends, here’s how different types of players should think about the Pennsylvania housing market in 2025 and beyond:

For Sellers

• Price it smartly: Listings that are realistically priced relative to buyer demand and comparable comps still attract offers quickly. Overpricing is being punished more often now.

• Stage aggressively & polish presentation: Photos, condition, curb appeal, and marketing matter more than ever in a slower, choosier market.

• Be prepared to wait a bit: Unless you’re in a hot submarket and pricing to the top, expect 2–4 weeks (or more) in some cases—not necessarily days.

• Have flexibility on terms: Buyers may seek concessions, extended inspections, or closing windows. Being negotiable can help avoid extended DOM.

• Watch supply flows: If many similar homes come on at once in your ZIP, competition deepens. Timing can matter.

For Buyers

• Be ready to act: The best properties in strong neighborhoods may still go under contract quickly (within days).

• Lock in financing early: Pre-approval, interest rate locks, and competitive terms make your offers more attractive.

• Look beyond the obvious zones: Some suburbs or exurbs that are lower priced but well-connected may offer better value and room for appreciation.

• Use time to your advantage in slower areas: In weaker markets, lingered listings may open negotiation room, repairs, inspections, or credits.

• Pay attention to seasonal and micro trends: Pricing, local inventory, and buyer appetite can shift quarter to quarter.

For Investors, Flippers & Rental Buyers

• Target broadly appealing assets: Avoid ultra-luxury or niche properties in weaker locales unless you’re confident in upside.

• Watch holding cost sensitivity: Every extra day on market eats into carrying expenses—mortgage, insurance, taxes, maintenance.

• Identify neighborhood inflection points: Look for areas on the cusp of growth or in emerging corridors.

• Plan for submarket shifts: Be ready to convert to long-term rentals or adjust exit pricing if absorption slows.

The Pennsylvania housing market in 2025 is in a stage of modest recalibration. While price growth continues in many areas, it is no longer eruptive; inventory is slowly loosening, and homes are taking slightly longer to sell in many markets. But make no mistake: this is not a buyers’ market across the board. In sought-after suburban counties and well-positioned locales, competition remains fierce and homes still often move in under two weeks.

The key going forward will be the interplay of supply (new listings and construction), financing costs (and rate movements), and local economic strength. As days on market continue to inch upward, savvy sellers will need to lean into pricing discipline and marketing, and buyers will benefit from patience, preparation, and an eye toward value