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Market Snapshot

Median listing price
$897K

The median listing price in Gaithersburg, MD ZIP 20878 is $897,499.5 as of June 2026.

Median rent
$2,800/mo

The median market rent in Gaithersburg, MD ZIP 20878 is $2,800/month as of June 2026.

Days on market
210 days

The median days on market in Gaithersburg, MD ZIP 20878 is 210 days as of June 2026. The market is currently neutral.

Gross rental yield
3.74%

At a median list price of $897,499.5 and a median rent of $2,800/month, the gross rental yield in Gaithersburg, MD ZIP 20878 is 3.74% as of June 2026.

STR vs LTR
$1,674/mo STR · $2,800/mo LTR

In Gaithersburg, MD ZIP 20878, median Airbnb revenue is $1,674/month compared to median long-term rent of $2,800/month as of June 2026.

Gaithersburg, MD 20878 Real Estate Market Report

ZIP Code: 20878

Report Date: June 2026

Market Temperature:
NEUTRAL

Scope: This ZIP code analysis focuses on single-family residential (SFR) properties. Metrics are calculated from recent sales and active listings within the past 90 days.


Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

Analysis Window
90 Days
Total Properties Analyzed
142
Active Listings
43
Sold Properties
99

Market Metrics

Median Listing Price
$897,500
Median Sold Price
$822,000
Median Price per Sqft
$379/sqft

The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.


Rental Market

Median Market Rent
$2,800

Note: The relationship between property values and rental rates reflects different market dynamics. Higher-priced properties may have lower rental yields due to factors such as luxury market positioning, owner-occupancy preferences, or long-term appreciation strategies rather than immediate rental income maximization.


Property Taxes

Property Tax Rate
0.93%

Liquidity & Velocity

Median Days on Market
210
Sale-to-List Ratio
100.0%

Market Trends & Context

Understanding Market Temperature

A Neutral market indicates balanced conditions where neither buyers nor sellers have a strong advantage, typically characterized by flat price trends, extended but stable days on market, and moderate inventory relative to sales.

Price YoY Trend
up
Market Temperature
neutral
Rent YoY Trend
down
Interest Rate Pressure
moderate

Current Mortgage Rate Context

Market-level mortgage rate comparison for this area:

Current 30-year fixed mortgage rates in the 20878 area are approximately 6.5%, reflecting a market where rates have fluctuated between 5.98% and 6.53% throughout 2026.

Note: Interest rate comparisons provide market context. The existing "Interest Rate Pressure" metric above shows the qualitative market impact.


Key Findings

  1. The primary market indicator is the median sold price of $822,000, which anchors recent transaction value and suggests modest price appreciation consistent with observed trends; price is trending up year‑over‑year so expect sellers to capture near-current sale-levels when aligned with market comps.
  2. There is a meaningful gap between the median listing price of $897,500 and the median sold price, which may indicate seller price optimism and pricing friction that could extend negotiation timelines for buyers and sellers not aligned to comparables.
  3. Market velocity appears slower based on a median days on market of 210, which suggests longer exposure before sale and may indicate moderate transaction volume despite stable pricing — plan for longer marketing windows and staged pricing strategies.
  4. Rental dynamics show a median market rent of $2,800 while rent year‑over‑year trend is down, and with moderate interest rate pressure around current 30‑year fixed rates near 6.5%, investors should underwrite conservatively and prioritize cash‑flow sensitivity to rate moves.

Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.

Recent Transactions

14009 Kip Ter, North Potomac, MD 20878
Top Sale

Highest sale in the past 90 days. Fully renovated with modern finishes and premium lot positioning.

5 beds4 baths5,772 sqft
$1,674,000
Mar 1, 2026
$290/sqft/sqft
370 days on market
12819 Talley Ln, Gaithersburg, MD 20878
Premium

Sold above market average

5 beds3 baths3,476 sqft
$1,600,000
May 1, 2026
$460/sqft/sqft
112 days on market
11221 Welland St, North Potomac, MD 20878
Market Benchmark

Sold at market average

4 beds3 baths4,537 sqft
$1,600,000
Apr 1, 2026
$353/sqft/sqft
134 days on market
11916 Clover Knoll Rd, North Potomac, MD 20878
Market Benchmark

Representative market sale establishing baseline for properties in the core neighborhood.

6 beds3 baths2,506 sqft
$765,000
Apr 1, 2026
$305/sqft/sqft
54 days on market
4 Cullinan Dr, Gaithersburg, MD 20878
Market Benchmark

Representative market sale establishing baseline for properties in the core neighborhood.

- beds3 baths2,156 sqft
$765,000
Apr 1, 2026
$355/sqft/sqft
628 Bright Meadow Mews, Gaithersburg, MD 20878
Market Benchmark

Representative market sale establishing baseline for properties in the core neighborhood.

3 beds2 baths1,344 sqft
$760,000
May 1, 2026
$565/sqft/sqft
74 days on market
446 Palmspring Dr, Gaithersburg, MD 20878
Value

Sold below market average

3 beds1 baths1,582 sqft
$380,000
May 1, 2026
$240/sqft/sqft
251 days on market
29 Orchard Dr, Gaithersburg, MD 20878
Value

Sold below market average

- beds2 baths1,290 sqft
$350,000
Mar 1, 2026
$271/sqft/sqft

Investment Analysis

Compare rental income potential against ownership costs and benchmark against market averages.

Rent vs Cost to Own

Monthly rental income vs estimated ownership cost

-$2,248/mo
20878 Avg Rent
20878 Cost to Own
Rent$2,800
Own$5,048

20% down, 6.53% rate, 0.9% tax

Short-Term Rental

Avg nightly rate and occupancy for this ZIP

20878 Avg nightly rate
20878 Avg occupancy (days/year)
Nightly rate$129/night
Occupancy120 of 365 days

Data Sources

Real estate market data & public records, and GemHaus® proprietary models.

Report generated: 6/1/2026

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