ZIP Code 21779 Housing Market

📝 Local Market Notes

The housing market in ZIP code 21779, located in Washington County, Maryland, demonstrates a robust upward price trajectory over the past five years. The FHFA Home Price Index (HPI) for this area has expanded significantly, rising from 169.83 in 2020 to 260.02 in 2025. This growth represents a cumulative increase of approximately 53% over the five-year period, with particularly sharp appreciation observed between 2021 and 2022, where the index jumped from 182.67 to 213.63. Such sustained momentum indicates strong demand and limited inventory constraints that have driven values higher consistently through the recent market cycle. Current performance metrics reveal a distinct divergence from broader regional trends. The county-level year-over-year growth stands at +3.28%, while the state average is +0.95%. ZIP 21779’s implied growth rate, derived from its HPI progression, appears to be outpacing the state average significantly, suggesting localized strength. This divergence signals that the sub-market is experiencing specific demand drivers or supply limitations not fully reflected in the wider state or even county aggregates. The area is performing as a high-growth pocket within a more moderate regional context, indicating that local factors are disproportionately influencing price appreciation compared to neighboring areas. In terms of sub-market character, ZIP 21779 operates within a predominantly owner-occupied environment, with the parent county reporting a 66.8% owner occupancy rate. The county median home value of $296,100 and median household income of $77,747 suggest a mid-tier market, though the ZIP’s HPI level of 260.0 implies that specific neighborhoods may command premiums above the county median. Compared to nearby ZIP 21733, which has a higher HPI of 289.4, and ZIP 21750 at 201.9, 21779 occupies a middle ground. For prospective buyers, the primary consideration is the rapid pace of appreciation relative to the 7.40% national mortgage rate. The data indicates that entry costs are rising faster than typical state trends, requiring careful assessment of affordability against the county’s median income levels.

Based on FHFA House Price Index data.