Pending Homes Sales Down in May after Tax Credit Deadline Passes
WALTHAM, MA – June 2, 2010 – (RealEstateRama) — The Massachusetts Association of REALTORS® (MAR) reported today that the number of single-family homes put under agreement in May were down 3.0 percent over the same time last year, while condominiums were down 6.0 percent. May is the first month since July 2009 that the number of both single-family homes and condominiums put under agreement has decreased compared to the year before.
“The decrease in pending sales in May is a direct result of buyers making a final push to get homes put under agreement prior to the April 30 tax credit deadline,” said 2010 MAR President Kevin Sears, broker/co-owner of Sears Real Estate in Springfield. “While we would have liked to have seen increases in pending sales in May, low interest rates and more affordable prices continue to be the foundation for a stable market.”
The number of single-family homes put under agreement in May was down 3.0 percent compared to the same time last year (4,802 homes in 2009 to 4,663 homes in 2010). On a month-to-month basis, single-family homes put under agreement were down 16.4 percent from 5,580 homes in April.
The number of condos put under agreement in May was down 6.0 percent compared to May 2009 (2,025 units in 2009 to 1,894 units in 2010). On a month-to-month basis, condos put under agreement were down 17.4 percent from 2,292 units in April.
About Pending Sales:
The tracking of signed purchase and sales agreements (also called “pending sales”) provide reliable information about where the real estate market is heading in coming months.
A pending sale or a sale “under agreement” is when the buyer and seller agree on the terms of the sale of a home and have a signed purchase and sale agreement, but have yet to close and be recorded as such. MAR is the only organization which compiles this statewide information from Multiple Listing Services each month.
About the Massachusetts Association of REALTORS®:
Organized in 1924, the Massachusetts Association of REALTORS® is a professional trade organization with more than 20,000 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
