Massachusetts Home Buyer Guide

Real estate professionals again blamed limited inventory for declining home sales and increasing home prices, the Massachusetts Association of Realtors (MAR) reported December 27, 2018.

Single-family home sales dipped 0.9 percent in November to 4,966 houses sold statewide compared to 5,010 sales in November 2017. Closed sales have been flat or down on a year-over-year basis nine out of the last 12 months.

The median price of a single-family home rose to $395,000 in November from $380,000 in November 2017, a 4.1 percent increase. Massachusetts median home prices have been up or flat 34 out of the last 36 months.

Single-family inventory declined for the 81st time in November over the last 82 months on a year-over-year basis. The number of available houses statewide dropped 9.5 percent to 13,411 compared to 14,815 homes on the market in November 2017. November 2018 had the fewest single-family homes for sale in any November since the MAR began reporting real estate inventory data in 2004.

The number of months supply of inventory decreased from 3.1 months in November 2017 to 2.8 months in November 2018. About six months of inventory is considered a balanced market between home buyers and home sellers.

Massachusetts condominium sales plunged 11.7 percent in November to 1,760 units sold from 1,994 closed sales in November 2017. Condo sales have been flat or down on a year-over-year basis for eight of the last 12 months.

The median condo price rose 1.4 percent to $375,000 compared to $369,900 in November 2017. Condominium prices have been up or flat for 34 of the last 36 months.

Condo inventory also declined in November, falling or staying the same for the 32nd straight month on a year-over-year basis. In November 2018 Massachusetts homebuyers had the fewest number of condominiums to choose from than in any November since 2004. There were 4,262 units on the market compared to 4,284 condos for sale in November 2017.

The number of months supply of condominium inventory was flat at 2.3 months.