Pennsylvania Home Prices Dip 5% in December as Market Cools
Event summary
- Pennsylvania's median home price fell 5% in December to $289,000 from $305,000 in November, though it remained flat year-over-year.
- Yearly median home price increased just 4.5% in 2025 to $299,500, down from double-digit gains in prior years.
- December listings and sales dropped over 10% year-over-year, but annual listings rose 15% compared to 2024.
- Total 2025 home sales increased 4.7% to over 116,000 transactions.
The big picture
Pennsylvania's housing market shows signs of normalization after years of rapid price growth, with December's cooling reflecting typical seasonal patterns. The 15% increase in annual listings suggests a shift toward more balanced supply-demand dynamics, though price sensitivity may grow if inventory continues expanding. With over 38,000 Realtors® active in the state, the association's role in facilitating transactions remains critical amid evolving market conditions.
What we're watching
- Market Balance
- Whether the 15% year-over-year increase in listings will sustain more balanced market conditions in 2026.
- Price Stability
- How December's 5% price dip may impact early 2026 pricing trends after years of rapid appreciation.
- Seasonal Patterns
- The pace at which post-holiday market activity rebounds in early 2026 compared to historical recovery rates.