Harrisburg metro HousingGauge — October 5, 2026 | RED 39

Welcome to the Harrisburg metro HousingGauge, your weekly local market report for the week of October 5, 2026.

Here is the headline. Harrisburg metro's HousingGauge score is 39 out of 100, which puts the market in the RED zone. Conditions have weakened over the past three months, and financing remains expensive.

Three developments stand out this week.

First: Harrisburg metro turned RED. The score moved from 46 to 39, crossing from YELLOW into RED.

Second: Homes selling more slowly. The median home takes 17 days to sell, 88.9% longer than a year ago.

Third: Score down 16 points over 13 weeks. The score moved from 55 to 39 over the past 13 weeks, driven mainly by Mortgage Conditions (−7.0 points).

Now, what is behind the score?

Mortgage Conditions scores 12 out of 100. The 30-year fixed rate averages 7.28%, up 0.82 percentage points over six months. Financing remains expensive, limiting affordability for leveraged buyers.

Supply & Buyer Leverage scores 32 out of 100. Inventory is 8.9% higher than a year ago (1,180 active listings), with 2.0 months of supply. Homes take a median 17 days to sell at 99.5% of list price, and 24.2% of listings have had a price cut. Sellers retain most of the negotiating leverage.

Monetary Conditions scores 53 out of 100. The real policy rate is 1.24%, 0.23 points above the estimated neutral rate (r-star) of 1.01% — a near neutral stance. The fed funds rate has risen 0.24 points over six months.

Demand Trend scores 31 out of 100. Pending sales are 7.6% lower than a year ago and closed sales are 3.9% higher. Days on market are 88.9% longer than a year ago. Buyer demand has softened.

Valuation & Affordability scores 80 out of 100. The median home costs 3.8 times the median household income. Principal and interest on a typical purchase would take 25.2% of that income at current rates. Inflation-adjusted prices are about the same as a year ago. Valuations look comparatively reasonable.

Rental Economics scores 60 out of 100. A year of median rent equals 5.7% of the median price (a price-to-rent ratio of 17.5). Rents are up 2.5% year over year. Rental economics are middling.

The score is down 7 points from last week's report (46 to 39). Over 13 weeks it is down 16 points, from 55 to 39. The largest contributors were Mortgage Conditions (−7.0 points) and Monetary Conditions (−3.2 points).

So what would move Harrisburg metro into the yellow? It would take several changes together: 30-year mortgage rate falls below 6.95% (now 7.28%); pending sales decline less than 3.5% year over year (now −7.6%); fed rate hikes stay under 0.05 pts over six months (now +0.24 pts); policy gap (real policy rate minus r-star) narrows below −0.10 pts (now +0.23 pts); months of supply rises above 2.6 months (now 2.0 months); and mortgage rates rise less than 0.35 pts over three months (now +0.85 pts).

And what could make conditions worse? Watch for these together: 30-year mortgage rate rises above 7.65% (now 7.28%); pending sales fall more than 12.0% year over year (now −7.6%); the Fed raises rates more than 0.50 pts over six months (now +0.24 pts); policy gap (real policy rate minus r-star) widens above +0.60 pts (now +0.23 pts); and months of supply falls below 1.5 months (now 2.0 months).

That is the Harrisburg metro HousingGauge for this week. The HousingGauge score describes market conditions. It is not a recommendation to buy or sell, and it is not individualized financial advice. For charts, sources and the full methodology, visit housinggauge.com. Thanks for listening.