GREATER BOSTON HOUSING MARKET’S REPORT FOR DECEMBER IS
IN!
Inventory shortages and record-high prices slowed overall sales
in the single-family and condominium housing markets throughout
Greater Boston in October according to data from the Greater Boston
Association of REALTORS (GBAR). Sales of single-family detached
homes declined on an annual basis in October as 952 units were sold
compared to 1,120 units sold last year. This is a 15 percent drop
in sales, yet it remains slightly above the historical average of
941 units sold for the month of October, and is the seventh highest
total on record for the month. Likewise, the condo market
experienced a decrease of its own, falling a modest 1.3 percent in
total sales from 831 units sold in October 2015 to 820 last month.
This is the fourth-highest sales total on record for October and is
above the 740 average historical sales total for the month of
October.
As anticipated, the housing market cooled down significantly in
October, and we believe that sales would have been stronger if
there were more homes available, however we are experiencing a
continued deficiency in inventory, said GBAR President Andrew
Sarno, Broker Associate with RE/MAX Andrew Realty Services in
Medford. We have noticed that certain populations, such as
first-time buyers, have been impacted the most by the steady prices
gains, however potential buyers remain motivated to enter the
housing market amid the trepidation of further price increases.
Indeed, we saw record-high median sales prices in both markets
for the month of October. In the singlefamily detached market,
median price rose 10.8 percent to $526,300 up from $475,000 in
October of 2015. Similarly, the condo market median sales price
rose to $479,238 last month, which was a 5.3 percent increase from
the $455,000 median sales price last October. Greater Boston
Housing Report- add one The limited amount of homes for sales is
making for a very competitive market. We are experiencing a lot of
multiple offer situations and bidding wars which are putting upward
pressure on prices, added Sarno.
The healthy local economy and job market are also helping to
support substantial growth in home values were seeing. Inventory of
homes for sale continues to be a hindrance on the housing market in
Greater Boston, as both markets experienced a significant drop in
this area. Supply of single-family detached homes dropped 26.4
percent to 2,769 homes on market last month, down from 3,762 last
October.
Condo inventory also fell to 1,616 which is a 21.1 percent
decline from the 2,050 condos on market in October 2015.
Additionally, the single-family housing market experienced a slight
decrease in pending sales, falling 4.7 percent from 1,258 in
October 2015 to 1,199 last month, while pending condo sales
remained even at 954.