WEST CHESTER, PA — Chester County’s housing market showed signs of cooling in July 2025, even as national trends indicate a rebound in home equity, according to ATTOM’s latest U.S. Home Equity & Underwater Report.
The median home list price in Chester County fell to $595,000 in July, a 4.8% drop from the previous month. Inventory also surged, with 1,209 homes on the market—a 60.1% increase from June. Despite the monthly dip, Chester County home values remain strong overall. The average home value climbed to $571,407, up 3.8% year-over-year, and the median sale price in June stood at $603,000, up 7% from the prior year.
These local figures reflect a national trend highlighted in ATTOM’s second-quarter report, which found that 47.4% of mortgaged homes across the U.S. are now considered equity-rich—meaning owners hold at least 50% equity in their properties. That figure is up from 46.2% in Q1, reversing three consecutive quarters of decline. Simultaneously, the percentage of seriously underwater properties—those with loan balances at least 25% above market value—dropped slightly to 2.7%.
“With home prices at record highs you’d expect to see owners enjoying more equity in their homes so it’s good to see equity-rich rates rebound after a few slower quarters,” said ATTOM CEO Rob Barber.
Chester County’s market reflects the broader pattern of wealth-building through homeownership, but regional disparities persist. For instance, within Chester County, cities like Glenmoore ($663,019), West Chester ($654,474), and Kennett Square ($624,892) maintain some of the county’s highest median home values, while Coatesville ($386,233) and Parkesburg ($354,491) remain more affordable by comparison.
Nationally, equity-rich gains were strongest in the Northeast, including New Jersey and Connecticut, while Sun Belt markets such as Florida, Arizona, and Georgia saw year-over-year declines in home equity. Louisiana continued to struggle, posting the nation’s highest share of seriously underwater homes at 11.9%.
Locally, Chester County appears well-insulated from those extremes. Rising inventory may ease affordability concerns in the months ahead, but sustained value growth suggests homeowners here remain well-positioned in terms of equity.
As regional and national housing dynamics continue to shift, Chester County will likely remain a market to watch—particularly as interest rates, demand, and equity trends evolve into the second half of 2025.
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