Real estate experts believe that the Baltimore real estate is headed in the right direction due to steady improvements experienced over the past few months.  Although home sales have increased significantly compared to that of the previous year, median prices are still slightly lower.  Many realtors in Baltimore have attributed the increase in Baltimore real estate activity to the federal tax credit for first time homebuyers.  Realtors also hope that the tax credit will continue to spur activity in the coming months, especially as buyers rush to close on purchases prior to the April 2010 deadline for the federal tax credit.  Although it is still unsure of the future of the real estate in Baltimore, many experts hope to see recovery some time during 2010 or 2011.

According to the Baltimore Sun, Baltimore real estate has recently experienced an increase in activity, with many properties changing hands over the past few months.  Realtors in Baltimore posted a 77 percent increase in home sales in November compared to that of November 2008.  About 3,700 homes in the Baltimore region were sold during November, a slight increase from the 2,247 sold in October.  This has shown great promise, especially since Baltimore tends to experience declines in its real estate market during the month of November based upon historical data trends.  Sales in October were also 36 percent higher than that of the previous year.  However, many experts believe that recovery is not yet here since Baltimore is still experiencing slight declines in median home prices.  In November, the median home price fell about 8 percent from that of the previous year to about $260,000.

The Baltimore Business Journal has also reported the promising improvements being made in the real estate in Baltimore.  Numerous realtors in Baltimore have reported that the real estate activity in the area has been surprisingly promising, especially considering the current season.  Many buyers have noted that the federal tax credit has played a major role in enticing homebuyers to invest now.  Experts have also noted that the affordability of the market has also played a major role in attracting homebuyers.  However, that also means that the luxury home market has continued to struggle to find buyers since few are willing to pay millions for a home during these economic times.