Massachusetts Median Home Prices Cross the $400,000 Threshold for the First Time

Massachusetts Median Home Prices Cross the $400,000 Threshold for the First Time

Sales down as number homes for sale reach lowest level for June since 2004

WALTHAM, Mass. – July 25, 2017 – (RealEstateRama) — The Massachusetts Association of Realtors® (MAR) reported today that the median price for a single-family home hit an all-time high and went over $400,000 for the first time. Both single-family homes and condominiums saw a drop in sales in June from last year. Inventory also reached the lowest level for the month of June since MAR began recording the data in 2004.

June Closed Sales:

Single-Family June 2017 June 2016 %Change
Sales 6,614 6,948 -4.8%
Median Price $410,000 $380,000 +7.9%
  • Median prices hit all-time high in June 2017. This is the second month in a row of all-time highs.
  • Closed sales have been down or flat six out of the last 12 months
  • Median prices have been up or flat for 18 out of the last 19 months
Condominium June 2017 June 2016 %Change
Sales 2,594 2,749 -5.6%
Median Price $361,500 $349,900 +3.3%
  • Closed sales have been down or flat for seven out of the last 12 months
  • Median prices have been up or flat for 18 out of the last 19 months

“We knew there was a good chance that the $400,000 barrier would be reached and passed,” said 2017 MAR President Paul Yorkis, president of Patriot Real Estate in Medway. “But the speed at which it did underscores what happens when there is very high demand coupled with very low supply. As prices increase more and more people will be priced out of the market, which isn’t good for our economy.”

“We knew there was a good chance that the $400,000 barrier would be reached and passed,” said 2017 MAR President Paul Yorkis, president of Patriot Real Estate in Medway. “But the speed at which it did underscores what happens when there is very high demand coupled with very low supply. As prices increase more and more people will be priced out of the market, which isn’t good for our economy.”

Inventory and Days on Market:

Single-Family June 2017 June 2016 %Change
Inventory 13,973 20,660 -32.4%
Months of Supply 2.9 4.3 -32.6%
Days on Market 55 80 -31.3%
New Listings 7,904 8,529 -7.3%
  • 64th time in the last 65 months of year-over-year inventory decreases
  • Lowest number of homes for sale in the month of June
  • New listings added to the market have been up for 11 out of the last 12 months
Condominium June 2017 June 2016 %Change
Inventory 3,820 5,300 -27.9%
Months of Supply 2.1 2.9 -27.6%
Days on Market 45 64 -29.7%
New Listings 2,863 2,852 +0.4%
  • Inventory down for 18 out of the last 19 months
  • Lowest number of homes for sale in the month of June

“The days on market reached a new all-time low this month, which is another indicator that people are snapping up houses as soon as the hit the market,” said Yorkis.

About the Massachusetts Association of Realtors®: Organized in 1924, the Massachusetts Association of Realtors® is a professional trade organization with more than 24,000 members.  The term Realtor® is registered as the exclusive designation of members of the National Association of Realtors® who subscribe to a strict code of ethics and enjoy continuing education programs.

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by Eric Berman

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