Montgomery County Housing Market Update: February 2026

The February 2026 numbers are in from Bright MLS, and the Montgomery County housing market is sending some conflicting signals — unless you know how to read them. Inventory is rising year over year, but still dangerously thin. Prices are up, but only slightly. Homes are taking longer to sell than last year, but 26 days is still fast by any historical standard.

Here is what the data actually says, and what it means for you.

February 2026 Montgomery County Market Snapshot

| Metric | February 2026 | Year-over-Year Change | |---|---|---| | Closed Sales | 551 | −1.4% | | Median Sales Price | $606,750 | +1.4% | | Median Days on Market | 26 days | +16 days | | New Pending Sales | 663 | +0.5% | | New Listings | 632 | −16.4% | | Active Listings | 1,275 | +21.5% | | Months of Supply | 1.58 | +0.29 months | | Showings | 16,261 | +4.6% |

Source: Bright MLS, February 2026, Montgomery County, MD

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What Does 1.58 Months of Supply Actually Mean?

A balanced market sits between 4 and 6 months of supply. At 1.58 months, Montgomery County is firmly in seller's market territory — meaning if every home on the market sold today and no new listings came on, buyers would run out of options in less than seven weeks.

To put the +21.5% increase in active listings in perspective: the county went from a near-historically-low base. More inventory than last year still means very little inventory by any reasonable measure.

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New Listings Dropped 16.4% — Why That Matters

This is the number that jumps out. In a month where buyer demand (showings: +4.6%) actually increased, the supply of new homes hitting the market fell by more than one in six compared to February 2025. Homeowners are staying put.

The likely reasons: sellers who bought or refinanced at 3–4% rates are reluctant to give up those mortgages and re-enter as buyers at current rates. This "rate lock" effect has been suppressing supply for two years, and February 2026 data suggests it isn't going away.

What this means for sellers: You are walking into a market with very little competition. Correctly priced homes are selling. Buyers are showing up — 16,261 showings in a single month is a lot of foot traffic.

What this means for buyers: You need to be prepared. Pre-approval in hand, clear on what you want, and ready to move when the right home appears.

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Median Days on Market: 26 Days Is Not Slow

Yes, 26 days is 16 days longer than February 2025. But that comparison was to an exceptionally fast market. Twenty-six days from list to contract is still faster than the national average, and it means well-priced homes are not sitting.

What has changed: overpriced homes are now being corrected. The "list high and see what happens" strategy that worked in 2021–2022 no longer does. Buyers have more options than two years ago, and they are exercising patience on anything that feels mispriced.

If you are a seller, this means pricing accurately at the start matters more now than it did before.

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Median Sales Price: $606,750

Montgomery County's median sale price reached $606,750 in February 2026, up 1.4% year over year. That is modest appreciation — not the 10–15% gains of the pandemic era, but steady. Prices have not collapsed despite higher rates and slower sales pace.

For buyers: the window of "prices will drop, I'll wait" has largely closed. Modest appreciation is the new normal.

For sellers: your home's value is holding. If you bought in the last five years, you almost certainly have equity.

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Frequently Asked Questions About the Montgomery County Market

Is it a good time to sell a home in Montgomery County?

Yes. With only 1.58 months of supply and new listings down 16.4% year over year, sellers have very little competition right now. Homes priced correctly are moving in under a month.

Is it a good time to buy a home in Montgomery County?

It depends on your situation. The market still favors sellers, but homes are taking slightly longer to sell than they did a year ago, which gives buyers a bit more room to negotiate — particularly on homes that have been sitting for 30+ days.

What is the average home price in Montgomery County in 2026?

The median sales price in February 2026 was $606,750, up 1.4% from the same month in 2025.

How long does it take to sell a home in Montgomery County?

The median days on market in February 2026 was 26 days, measured from list date to contract. Well-priced homes in strong locations continue to move faster.

Which neighborhoods in Montgomery County are most competitive?

Single-family homes under $700K in Rockville, Gaithersburg, and Germantown, as well as townhomes near Metro stations in Bethesda, Silver Spring, and Wheaton, tend to see the most competition. Condos have more available inventory.

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What I'm Seeing on the Ground

The data confirms what I've been observing in showings and conversations this February: serious buyers are active, but they are more selective than they were a year ago. The days of waiving every contingency on anything with a roof are over. At the same time, well-prepared sellers are still doing very well.

If you want to talk through what this means for your specific situation — whether you're thinking about selling, trying to figure out if now is the right time to buy, or just trying to understand what your home is worth — reach out. I give straight answers.

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