Massachusetts Condo Inventory Declines 60 Straight Months

Looking for a condominium in Massachusetts? You're going to have to be ready when new listings in your desired location and price range hit the market. 

Massachusetts condo inventory declined for the 60th straight month in October, according to data released November 24, 2015 by the Massachusetts Association of Realtors (MAR). There were 5,200 condominiums available at the end of October compared to 6,275 units on the market in October 2014, a 17.1 percent decrease in inventory. The months supply of inventory declined 23.7 percent to 2.9 months compared to 3.8 months in October 2014. Six months of inventory is generally considered a balanced market between sellers and homebuyers. New condo listings increased 1.2 percent in October to 2,272 statewide.

The inventory situation for single-family homebuyers isn't any better. MAR reported that inventory for single-family homes declined for the 45th straight month in October. The number of homes available declined 16.7 percent to 21,259 compared to 25,507 in October 2014. Months supply of inventory decreased 27 percent to 4.6 months compared to 6.3 months; however, months supply of inventory is much less in many cities and towns around the Boston area.  New single-family home listings increased 6.5 percent to 6,489.

An extremely strong real estate market over the past five or six months has kept inventory tight statewide after there seemed to be a slightly improving inventory situation earlier in the year. Homes are selling faster too. Statewide condominiums were on the market on average 16.9 percent fewer days in October than October 2014. The average number of days on the market for single-family homes decreased 9.6 percent.