Is the DC/MD/VA housing market slowing down? What sellers need to know this fall

For the last few weeks, I've been saying this market is shifting. The September numbers just came out, and they confirm it.

If you're thinking about selling your home, or you're already on the market, here's what's happening and what to do about it.

Is the DC housing market slowing down?

Yes. In September, active listings across the DC metro were up about 20% from a year ago, according to Bright MLS. New contracts were down 17%. Showings, which count how many times buyers tour homes, were down 17% too.

Bright's chief economist says mortgage rates near 7.5% are pricing more buyers out. The serious buyers are still out there. The casual ones are waiting.

It isn't just us. Homes.com reports that inventory grew in 70% of the 930 housing markets it tracks in August.

What's happening in Prince George's and Montgomery County?

Here's September in both counties:

Prices are holding steady for now. But fewer homes are selling, and the price per square foot in Prince George's slipped 2.5%. When sales slow first, prices often follow.

Why are so many homes sitting?

About the same number of people are listing homes as last year. What dropped is buyers.

So more homes are competing for fewer of them, and that gap gets wider every week. Buyers have more choices than they've had in years, and they're using them. They skip homes that are overpriced or not ready, and they don't come back.

What does it cost to wait?

More than most sellers think.

Every month your home sits, you pay another mortgage payment. Even with the house paid off, you still pay property taxes, insurance and utilities. On a $450,000 home in Prince George's County, taxes and insurance alone run about $500 a month.

Then there's the time cost. The longer a home sits, the more buyers wonder what's wrong with it. That usually ends in a bigger price cut than the one the seller was trying to avoid.

When should you list this fall?

From Thanksgiving through New Year's, buyer traffic usually drops even further. If you want to sell before the holidays, you have about five weeks.

If you're planning for spring, the work starts now. Repairs, updates and pricing take time, and you want your home ready the day buyers come back.

What's working for sellers right now?

The homes still selling have a few things in common.

They show well on day one. Repairs are done. The house is clean and clutter-free. The photos are professional. Buyers decide in seconds online whether to book a showing, and you rarely get a second chance.

They're priced for this market. That means today's sales, not what a neighbor got in 2022, and not what's still sitting down the street.

They have a real marketing plan for the first two weeks. That's when buyer interest is highest. Good photos and video, strong online exposure, open houses and outreach to agents with active buyers all need to happen at launch, not after the listing goes stale.

Their sellers stay flexible. They say yes to showings, even when the timing isn't great. They answer every offer, even a low one, with a counter. And they stay open to helping with closing costs or a buyer's agent fee when a buyer asks.

What should your backup plan include?

Most sellers don't have one. That's usually the difference between a home that sells and one that sits.

A good backup plan is decided before you list, so you're not making emotional decisions later. It should answer a few questions:

• When will we check in? Pick set points, like 2 weeks and 30 days, to look at showings, feedback and offers.
• What changes if the offers don't come? That could be a price adjustment, a fresh round of marketing, or both.
• What can we offer besides a lower price? Sometimes a seller credit toward a buyer's closing costs, or a rate buydown, helps a buyer more than a price cut does. I broke down the numbers on that in an earlier post.
• What if selling stops making sense? For some owners, renting the home out for a year or two is a better move than selling at the wrong price. Since our team manages rentals, we can run those numbers too.

Habits that cost sellers in this market

All of these made sense a few years ago, when buyers were lining up. Today they send buyers to the next house:

• Pricing for the market we had in 2022
• Turning down showings because the timing isn't convenient
• Letting offers sit without a response or a counter
• Saying no to closing cost help when a buyer asks

Get an honest assessment

After helping hundreds of homeowners in the DMV over the last 24 years, I can tell you this market rewards sellers who are prepared and punishes the ones who aren't.

If you want an honest assessment of what your home needs to sell, call or text my office at 240-255-9027 and give me 15 minutes. It may not be what you want to hear, but it will help get you across the finish line.

Sources: Bright MLS September 2026 Housing Market Report (DC metro); Bright MLS county data for Prince George's and Montgomery counties, September 2026; Homes.com, "US home listings pile up as buyers hold back," September 30, 2026. Tax and insurance estimate assumes a 1.1% property tax rate and about $100 a month for insurance.