WEST CHESTER, PA — Chester County’s housing market accelerated sharply in April as rising inventory failed to keep pace with buyer demand, driving home prices higher and intensifying competition across the region despite mortgage rates remaining above 6%.
The median home sale price in Chester County climbed to $558,950 in April, up 4% from March, while the county’s broader Zillow Home Value Index reached $576,312, according to local market data and Zillow’s April housing report. Monthly mortgage payments for a typical home approached $3,950 as the average 30-year fixed mortgage rate held near 6.46%.
The market saw a significant increase in listings during the spring selling season. New listings rose more than 25% from March to 730 properties, pushing total active inventory to about 806 homes by the end of April.
Even with the increase, supply remained historically constrained at roughly 1.6 to 1.8 months of inventory, well below the five- to six-month level generally considered balanced. Analysts attributed the shortage in part to the “lock-in effect,” with many homeowners reluctant to give up lower mortgage rates secured during the pandemic.
Sales activity remained strong. Closed sales increased between 19% and 24% month over month to 456 transactions, while 1,044 homes went under contract during April.
Properties continued moving rapidly through the market, with well-priced homes in competitive communities going pending in a median of five to six days. Homes sold for an average of 101.2% to 102% of original asking prices, reflecting continued bidding competition and multiple-offer situations.
The county’s rental market also remained under pressure. Average monthly rent reached $2,173 in April, up 0.7% from March and 4.7% from a year earlier, exceeding the national average of $1,930 reported by Zillow.
Nationally, Zillow reported that housing inventory expanded faster than sales for the first time this year, signaling somewhat improved conditions for buyers outside the Philadelphia suburbs.
Across the U.S., active inventory rose 3.7% year over year to 1.3 million homes in April, while new listings increased 2.1% to more than 426,000 properties. Existing home sales were essentially flat nationally, declining 0.4% from a year earlier.
“The spring rebound we anticipated at the start of the year and that produced the stronger sales figures in March was put on pause in April by higher rates,” Zillow Chief Economist Mischa Fisher said in the report.
Fisher added that buyers entering the market this year are seeing “more homes to choose from and lower monthly costs than a year ago,” even as affordability challenges persist.
Nationally, homes took a median of 17 days to go pending in April, compared with five to six days in Chester County, highlighting how much more competitive the local market remains relative to broader national trends.
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