Baltimore Real Estate Market Wrap-Up: 2025 Trends & 2026 Predictions
As we close out 2025, the Baltimore real estate market continues to prove its resilience. From historic row homes in Baltimore City to suburban neighborhoods throughout Baltimore County, buyers and sellers alike have navigated shifting interest rates, changing inventory levels, and evolving lifestyle priorities.
So what defined the Baltimore housing market in 2025 and what should homeowners, buyers, and investors expect in 2026? Let’s take a closer look…
2025 Baltimore Real Estate Market Recap
Baltimore City: Steady Demand with Neighborhood Variation
In Baltimore City, 2025 was a year of stabilization rather than rapid growth. While price increases cooled compared to earlier post-pandemic years, demand remained consistent, especially in well-located neighborhoods.
Key 2025 City Trends:
Strong buyer interest in walkable areas like Canton, Federal Hill, Hampden, and Locust Point
Continued momentum in revitalizing neighborhoods near transit, hospitals, and universities
Rowhomes with updated kitchens, outdoor space, and parking sold faster than average
Investors remained active, especially in areas seeing redevelopment and rental demand
Affordability compared to other East Coast cities continued to make Baltimore City attractive to first-time buyers and remote workers.
Baltimore County: Suburban Stability & Lifestyle Appeal
Baltimore County real estate remained highly competitive in 2025, particularly for single-family homes in established school districts.
Key 2025 County Trends:
Consistent demand in Towson, Lutherville/Timonium, Perry Hall, White Marsh, and Catonsville
Limited inventory kept prices stable, even as buyer activity slowed slightly
Move-up buyers prioritized space, home offices, and proximity to commuter routes
Condos and townhomes gained popularity as affordability options
The county’s blend of suburban living with easy access to Baltimore City continued to attract families and professionals alike.
Interest Rates & Buyer Behavior in 2025
Mortgage rates fluctuated throughout 2025, creating a more intentional buyer pool. Buyers were:
More price-sensitive
More willing to negotiate
Focused on long-term value rather than short-term gains
Sellers who priced realistically and presented their homes well still achieved strong results.
2026 Baltimore Real Estate Market Predictions
Looking ahead to 2026, the Baltimore housing market is expected to remain balanced and opportunity-driven, rather than volatile.
Prediction #1: Gradual Price Growth, Not Spikes
Home values in both Baltimore City and County are projected to see modest appreciation, rather than dramatic jumps. This favors:
Buyers seeking stability
Sellers focused on long-term equity
Investors targeting cash flow over speculation
Prediction #2: Inventory Will Improve Slightly
More homeowners are expected to list in 2026 as:
Rate uncertainty eases
Life changes (downsizing, job moves) drive decisions
New construction and renovations add options in select areas
However, well-priced homes in desirable neighborhoods will continue to move quickly.
Prediction #3: City Living Will Attract Younger Buyers
Baltimore City is likely to see increased interest from:
First-time buyers priced out of surrounding metro areas
Remote and hybrid workers
Buyers seeking walkability and character
Neighborhoods near waterfronts, parks, and transit corridors are expected to outperform the broader market.
Prediction #4: Baltimore County Remains a Safe Bet
In 2026, Baltimore County will continue to appeal to:
Families seeking space and schools
Buyers relocating from higher-cost regions
Long-term homeowners prioritizing stability
Single-family homes and townhomes in move-in-ready condition should remain in high demand.
What This Means for Buyers & Sellers in 2026
For Buyers:
More choices than in recent years
Less competition, but still a need to act decisively
Opportunities in both city and county markets
For Sellers:
Pricing strategy matters more than ever
Homes that are staged, updated, and well-marketed will stand out
Local expertise will be key to maximizing value
My Final Thoughts…
As we wrap up 2025, one thing is clear: Baltimore’s real estate market remains strong, diverse, and full of opportunity. Whether you’re considering buying in the city, selling in the county, or investing anywhere in between, 2026 is shaping up to be a year defined by smart decisions rather than speculation.
If you’re thinking about making a move in the Baltimore City or Baltimore County real estate market, now is the perfect time to start planning!