Market UpdatesReal Estate January 31, 2026

December 2025 Housing Market Report

December 2025 Housing Market Report

Areas Coldwell Banker Hearthside Watches
Bucks • Montgomery • Chester • Berks • Philadelphia Counties

As we close out 2025, the housing market across Southeastern Pennsylvania continued to show resilience, even as conditions varied by county. December brought strong year-over-year sales activity in many suburban markets, steady price growth, and inventory levels that remain historically tight. Below is a breakdown of what we’re seeing—and what it means heading into 2026.

Big Picture: How the Market Ended 2025

Across most of the region, December sales activity outpaced last year, signaling that buyer demand remains strong despite affordability pressures. Prices largely held firm or increased, while months of supply stayed near or below levels typically associated with seller-favored conditions. The biggest story continues to be limited inventory, which is keeping competition elevated in many markets.

Bucks County: Strong Demand, Rising Prices

Bucks County finished December on a high note, with closed sales up nearly 30% compared to December 2024. Home prices saw notable growth, with the median sold price climbing into the low $500,000s. Homes continued to move quickly, averaging just under two weeks on the market.

What this means: Buyers remain highly active, and well-priced homes are still selling fast. Sellers benefit from strong demand but must remain mindful of pricing as affordability becomes a larger conversation.

Montgomery County: Consistent Activity, Stable Pricing

Montgomery County posted a solid increase in closed sales year over year, while prices remained relatively stable compared to some neighboring counties. Days on market edged slightly higher, suggesting buyers are taking a bit more time—but not stepping away.

What this means: The market is competitive but balanced. Sellers still hold an advantage, while buyers may find slightly more breathing room than earlier in the year.

Chester County: Price Growth Continues

Chester County continued its long-term trend of strong pricing, with median home values rising year over year. While sales growth was more moderate, inventory remains tight, keeping upward pressure on prices.

What this means: Chester County remains attractive for move-up buyers and those seeking long-term value. Sellers benefit from price stability, while buyers should be prepared to act decisively.

Berks County: Affordability Meets Demand

Berks County saw one of the strongest percentage increases in closed sales compared to last year, paired with modest but steady price appreciation. Homes continue to sell quickly, with days on market holding near historic lows.

What this means: Berks remains a popular option for buyers seeking relative affordability without sacrificing market momentum. Sellers are seeing consistent activity, especially in well-maintained homes.

Philadelphia County: A More Balanced Urban Market

Philadelphia County showed a slight year-over-year dip in closed sales, while prices continued to trend upward at a slower pace. Homes took longer to sell compared to the surrounding suburban counties, reflecting a more balanced market environment.

What this means: Buyers may find more options and negotiation opportunities in the city, while sellers should focus on pricing and presentation to stand out.

Inventory & Supply: Still the Defining Factor

Across nearly every county we track, months of supply remain well below historical norms. Even in markets where inventory increased year over year, supply levels are still tight enough to support pricing and competition.

This ongoing imbalance between supply and demand continues to shape buyer and seller behavior heading into 2026.

Looking Ahead to 2026

As we enter the new year, the regional housing market remains fundamentally strong. While affordability and interest rates will continue to influence buyer decisions, demand across Bucks, Montgomery, Chester, Berks, and Philadelphia Counties suggests continued stability.

For buyers, preparation and local expertise are key. For sellers, strategic pricing and strong marketing remain essential to maximize results.

If you’d like a closer look at how these trends affect your specific neighborhood or price range, the Coldwell Banker Hearthside team is always here to help.

This report reflects residential real estate activity through December 2025.