By Craig Anderson

DOVER — Demand for home purchases remains high, according to real estate professionals.

And that’s pushed up prices, in what Delaware Association of Realtors president George Thomasson described as a lean toward a “seller’s market” in the First State.

That market continues to be on solid footing, he noted.

“The current health of homebuying and selling in Delaware is relatively stable,” Mr. Thomasson said. “Demand for homes remains strong, with a steady flow of buyers looking for properties across the state. Sellers are also active in listing their homes, taking advantage of the favorable market conditions.”

Vouching for that was Steve Schmidt, owner and broker of RE/MAX Horizons in Dover, as well as a 32-year real estate agent.

“Sellers can expect to sell a home quick if the house is priced right,” he said. “As a buyer, depending on what you’re looking for, it could be a process of looking at quite a few properties.”

As far as what the residences are selling for, the Delaware Association of Realtors reported that, in March, the median sales price was $369,166, up 7.63% from the same month in 2023.

Plus, the median listed price of a property rose 8.73% to $413,161 in that year.

There were 993 sales settled in March, compared to 1,139 at the same time in 2023.

Mr. Thomasson said the hottest markets in the state are typically Wilmington, Newark and Rehoboth Beach because “these areas attract buyers due to their amenities, proximity to major cities and overall quality of life.”

Right now, homes in Delaware typically stay on the market around 30 days, depending on the location, price range and condition of the property, he said.

Meantime, while mortgage rates have fluctuated and are around 6.5% for 30 years right now, he said they “generally remain low compared to historical averages.”

He added, “Realtors are observing competitive bidding wars, limited inventory and quick sales in certain areas. They also highlight the importance of being prepared, both for buyers and sellers, to navigate the fast-paced market.”

Buyers are “frequently looking for homes with updated kitchens and bathrooms, open floor plans, energy-efficient features and outdoor living spaces,” Mr. Thomasson said. “Location, schools and neighborhood safety are also key factors.”

Those seeking to buy also have mixed characteristics.

“Buyers in Delaware come from a mix of local residents, out-of-state buyers looking for a second home or relocation and investors seeking rental properties,” he said.

Mr. Schmidt noted that the out-of-state buyers can be flush with cash.

“(They) are sometimes coming in with a lot of money down, a lot of cash because they are selling that nice, big house up in New York that they have (sold for) three-quarters of a million dollars.

“They put three to four hundred thousand down and bank the rest. It’s a great retirement plan for them. They’re close to the kids, the grandkids, that type of thing,” he said.

RE/MAX Horizons agent Myra Mitchell, who has sold sites from Middletown to Lewes, said would-be buyers often arrive from New Jersey, Maryland and Pennsylvania because of Delaware’s lower taxes.

“They can’t afford to live in the city anymore because of the high taxes, and maybe there’s the cost-of-living factor,” she said. “They’re coming here to save on taxes, so they have extra money.”

While the market is seeing success, there can be challenges. Some of them include “limited inventory, rising prices, competition from other buyers and navigating the complex process of buying or selling a home,” Mr. Thomasson said.

Mr. Schmidt added that it’s tough for first-time homebuyers to find a residence “because of the out-of-pocket expenses. There are programs out there (to assist), but they may, sometimes, be limited on funds.”

Looking ahead, Mr. Thomasson said, “the real estate market in Delaware is expected to remain active, with continued demand for housing and potential price appreciation. However, external factors, like interest rates and economic conditions, can impact the market’s trajectory.

“The real estate market in Delaware is dynamic and offers opportunities for both buyers and sellers,” he added. “It’s essential to stay informed, work with a knowledgeable real estate agent and be prepared for the competitive nature of the market.”

Ms. Mitchell also remains bullish on the prospect of purchasing a home.

“A lot of people are nervous because they don’t know where the economy is going or where interest rates are going,” she said. “I’m thinking, ‘Everyone calm down, and if you want a house, you should look for a house.’

“I’ve bought and sold real estate for 28 years and never regretted one purchase. You might feel like you paid too much in the beginning, but after a while, you realize it was a good deal.”