Welcome to the Weekend Market Pulse
You may be seeing national news headlines about real estate that are less than positive, but it's important to understand that while real estate is influenced by national and geopolitical events, it is still inherently local at its core. What happens in California, Florida, or Texas markets often has little bearing on what we're experiencing here in the DC Metro area.
Last week, I predicted we'd see "another bump" in market activity after the cooling trend we observed in mid-to-late March. The data is in, and that prediction was spot on. We've seen a dramatic reversal in nearly every market metric, with competition surging back. The dip we saw appears to have been a brief pause, likely a combination of early spring inventory absorption, concerns about potential federal workforce reductions, tariffs, and inflation. But now? We're seeing renewed competitive intensity among active buyers, even though the overall buyer pool appears smaller than last year.
Competition Surges Back
Multiple offers jumped to 69% of transactions, up from just 37% last week
Average offers per property rose to 2.2, rebounding from 1.5 last week
This confirms what many agents were seeing on the ground – buyers who paused briefly have jumped back in
Pricing
94% of homes sold above list price, a dramatic increase from 53% last week
At-list sales dropped to just 6% (from 21%)
Below-list sales completely disappeared (from 26% to 0%)
The combination of limited inventory and renewed buyer enthusiasm has bolstered the seller's advantage.
Buyers Making Major Inspection Concessions
Full inspections plummeted to 12.9%, down from 47% last week
Waived inspections more than doubled to 43.6% (from 21%)
Pre-inspections increased to 24.8% (from 16%)
Pass/fail options rose slightly to 18.8% (from 16%)
The pendulum has swung dramatically back toward seller-favorable terms. After a brief period where buyers could include full inspection contingencies, we're seeing a return to risk-taking as buyers compete for increasing but still limited inventory.
Market Forces: Rebound Drivers & Cautionary Signals
Interest rates have dropped and stabilized in recent weeks, with most lenders quoting in the mid 6% range. Several factors appear to be driving the competitive rebound:
Seasonal pressure As we move deeper into spring, buyers who need to move before fall are feeling increasing urgency.
Pent-up demand release The slight market pause we saw in previous weeks appears to have created demand that's now being activated.
Federal workforce uncertainty I've had three federal employees and two federal contractors reach out to me in the past month to game out various scenarios based on their fear of losing their jobs under potential workforce reductions.
This last point is particularly notable. The administration's discussions about federal workforce changes appear to be creating both urgency for some (buy now before my situation changes) and hesitation for others (maybe I should wait until my employment is more secure).
However, alongside this rebound, I'm also seeing signals that warrant caution. While the competitive metrics were strong, they were slightly less robust than I would have anticipated based on my personal business experience and typical seasonal trends. Looking deeper, I examined showing data for March 2025 (see chart below), which is one of the earliest indicators of buyer demand.
The data reveals showing activity is down significantly compared to last year across all price ranges – from 15% to nearly 37% depending on the price point. This suggests that while our active buyers are extremely competitive, the overall buyer pool may be thinner than in previous spring markets.
Given this data point, I'm slightly less bullish on sustained price growth, as we're seeing signs of increasing inventory which could eventually put downward pressure on pricing. That said, this appears somewhat balanced by the fact that the buyer pool, while smaller, is more intense – and for now, absorption rates are keeping pace with the increasing inventory.
Quick Take for Buyers
Based on the showing data, this spring may hold more opportunities for buyers than I initially expected. The overall buyer pool appears smaller than last year, which could mean less competition for some properties. However, be aware that those buyers who are active are extraordinarily competitive – as evidenced by 94% of homes selling above list and inspection contingencies being waived at high rates.
To succeed in this market, preparation and decisiveness remain critical. Get pre-approved now, know your limits, and be ready to move quickly when the right property appears. Use my ZenList link for free, real-time access to listings before they hit major portals to give yourself the best possible advantage.
Quick Take for Sellers
The market remains strong for sellers, with a high percentage of homes selling above list price and buyers continuing to make concessions on contingencies. However, the significant drop in showing activity compared to last year (15-37% depending on price point) suggests a more nuanced reality. While active buyers are competitive, the total buyer pool appears smaller.
With fewer buyers overall, proper pricing strategy becomes even more critical. I find it helpful to test out pricing before a property hits the open market. While we're putting on finishing touches, I often like to test pricing with an internal brokerage exclusive – giving us valuable feedback from active agents before committing to a public list price.
This approach helps ensure we hit that pricing "sweet spot" that creates the competitive environment driving the best possible results in the current conditions. Request a free CMA to optimize your pricing strategy and discuss whether this approach might work for your property.
What's Next?
Given the dramatic swings we've seen over the past month, we'll be watching closely to see if this renewed competition sustains through April. Historical patterns suggest continued strength through spring, but with such volatile shifts, next week's Market Pulse will be particularly telling.
For neighborhood-specific stats or personalized analysis, call 301-564-3058 or email Corey@FeldmanGroupRe.com.
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