Baltimore Real Estate Market Analysis

Baltimore is a seaport city on the US East Coast, located 40 miles northeast of Washington, D.C. With an estimated population of 612,000 people, Baltimore is the largest city in the state of Maryland. The Baltimore metropolitan area is home to nearly 3 million people, making it the 21st largest metro area in the US. The city’s fairly large population combined with the fact that 54.5% of the residents (according to NeighborhoodScout) live in rental properties is a good indicator for those considering investing in the Baltimore real estate market. This means long-term rental properties can make for a profitable real estate investment in the city.

Baltimore is centrally located among major East Coast cities, with easy access via air, rail, and sea. This makes the city highly attractive to both residents and businesses. The city enjoys a highly diversified economy based on a range of different industries that present further growth opportunities. The education industry is one of the most important contributors to Baltimore’s economy. A total of 12 colleges and universities are located in the city, including the renowned Johns Hopkins University. Baltimore is also a center of medicine and healthcare. Home to two pioneering teaching hospitals, the Johns Hopkins Hospital and the University Hospital at the University of Maryland, the city is regarded as a national headquarters for advanced medical treatment and research. Several federal agencies, including the Federal Social Security Administration, are based in the Baltimore area and are some of the largest employers in the city. The port of Baltimore is the largest port in the Mid-Atlantic and is the closest to major Midwestern markets compared to other major seaports on the East Coast. 

Baltimore is also a hot tourist destination on the East Coast, with much of the tourism centered around the city’s Inner Harbor and the National Aquarium, which are the top tourist attractions in Maryland. Other major industries include manufacturing, retail trade, transportation and warehousing, construction, food processing, finance, and technology. The city’s expanding economy and workforce are good indicators for those considering buying an investment property in the Baltimore housing market.  

The Baltimore real estate market is one of the most affordable in the country. Investment properties are reasonably priced, which is a good factor for investors who do not have access to large sums of money. The Baltimore real estate market was listed among the most important U.S. Markets to Watch by PWC in its annual Emerging Trends in Real Estate: United States and Canada 2019 report. However, according to the report, there is a shortage in real estate properties in the face of very high demand.