Massachusetts Home Buyer Guide

We announced in this blog in July 2013 (Massachusetts Foreclosure Crisis Over, Foreclosure Petitions Down 86%) and again in April 2014 (Safe to Say the Massachusetts Foreclosure Crisis is Over?) that the foreclosure crisis in Massachusets was over, dead, done with, kaput, and the crisis is definitely history; however, something surprising, if not completely unexpected, has happened in recent months.

Foreclosure petitions – the first step in the Massachusetts foreclosure process – have risen on a month-over-month basis for a couple months. By no means are we back in foreclosure crisis mode, not even close, but as lenders get the last of the foreclosures off their books there may be an opportunities for some home buyers and investors. 

Tight inventory and higher prices certainly factored into the second quarter having the fewest number of condominium sales in a couple of years in Downtown Boston, the Boston Business Journal reported July 17, 2014.  The BBJ obtained the data from the Listing Information Network, or Link, which is a Boston-based company that tracks real estate sales. 

A town of about 30,000 residents, Tewksbury, Massachusetts attracts individuals and families looking for relatively affordable housing options in a place with a small town feel at a reasonable distance from Boston, MA and Manchester, NH. 

Located in northeastern Massachusetts in Middlesex County, Tewksbury is made up of a little more than 21 square miles of rolling terrain. The town is bordered by Lowell on the west, Dracut on the north, Andover on the northeast, Wilmington on the southeast, and Billerica on the south. Tewksbury is approximately four miles southeast of Lowell, MA, 21 miles northwest of Boston, and 35 miles southeast of Manchester, NH. 

The Boston Globe reported on July 9, 2014 that a few additional lenders have agreed to participate in a state program to provide loans to first-time home buyers through MassHousing and the Massachusetts Housing Partnership. What types of loans are available to first-time home buyers? Eligible first-time home buyers may qualify for mortgages with low down payments, no private mortgage insurance (PMI) and other benefits. 

The following are a few, but not all, of the loan programs available to first-time home buyers in Massachusetts. 

The sparkling waters of the Piscataqua River reflect the charm of Portsmouth, New Hampshire, a thriving community of about 21,000 people that blends the historic past with modern New England. Surrounded by the cities of Rochester and Dover and numerous towns such as Exeter, Stratham, Hampton, Greenland and Rye, Portsmouth offers the best of two worlds: the attractions of a small town and close proximity to Boston. 

The median price for single-family homes in Dunstable, Massachusetts increased 3.7 percent from April 2013 to to April 2014, according to data compiled by the Massachusetts Association of Realtors. 

The median single-family home price in April was $425,000, compared to $410,000 in April 2013. Single-family property prices in Dunstable, MA went up 19.1 percent over the first four months of the year relative to that same period in 2013. The median price through April was $480,000, up from $402,950 through the first four months of 2013. 

Real estate inventory of single-family homes in Andover, Massachusetts declined 18.9 percent in April 2014 compared to April 2013, according to data compiled by the Massachusetts Association of Realtors. 

In April 2014, there were 86 homes on the market, compared to 106 in April 2013. Months supply of inventory in April also declined. There was 2.8 months supply in April relative to 4.2 in April 2013, a 33 percent decline.

The median price of a single-family home in April was $492,000, up from $471,000 in April 2013. Andover, MA single-family property prices increased 27.7 percent over the first four months of the year compared to that same period in 2013. The median price through April was $574,500, up from $450,000 through the first four months of 2013.

Massachusetts single-family home sales declined for the fourth straight month on a year-over-year basis in May 2014, a 7 percent drop, The Warren Group, publisher of Banker & Tradesman, reported June 25, 2014.

In May, a total of 4,482 single-family homes were sold compared with 4,820 in May 2013. Through the first five months of the year, home sales also declined by 3.8 percent with 15,467 homes sold compared with 16,073 sold during the same period last year.

The number single-family homes sold in Lynn, Massachusetts declined 18.8 percent in April 2014 relative to April 2013, according to data compiled by the Massachusetts Association of Realtors. 

There were 26 closed homes sales in April 2014, compared to 32 in April of last year. Meanwhile, pending sales in April increased by 13.7 percent. There were 58 pending sales in April 2014 and 51 in April 2013. Through the first four months of the year, both pending and closed sales numbers were higher than during that same period in 2013. There were 175 pending sales through April 2014 compared to 147 through April 2013, an increase of 19 percent. As for closed sales, there were 120 sales through April 2014 compared to 108 during the same period in 2013, an increase of 11.1 percent. 

While the number of pending single-family home sales in April stayed steady at 31 from 2013 to 2014, the number of closed sales in Walpole, Massachusetts took a 45.8 percent dip. According to data compiled by the Massachusetts Association of Realtors, only 13 sales were closed in April 2014, compared to 24 in April 2013. 

Through the first four months of 2014, there was a 7.5 increase in pending sales relative to that same period in 2013. Meanwhile, closed sales went down from 54 to 41, a 24.1 percent decrease. 

As sales fell, median home prices rose. The median price for a single-family property in April was $420,000, up from $412,500 in April of last year. Walpole, MA single-family home prices went up 13.5 percent during the first four months of the year compared to that same period in 2013. Through April 2014, the median price of a single-family property was $440,000. Through the first four months of 2013, the median price of a single-family home was $387,500. 

While the median sales price of all properties in Wilmington, Massachusetts skyrocketed 123.4 percent from April 2013 to April 2014, the inventory of homes dropped 36.7 percent during that same period, according to data compiled by the Massachusetts Association of Realtors. 

The median price of a single-family home in April was $407,700, up from $366,000 in April 2013. Single-family property prices in Wilmington, MA increased 9.1 percent over the first four months of the year compared to the same period in April 2013. Through April 2014, the median price of a single-family home was $371,000. Through the first four months of 2013, the median price of a single-family property was $340,000.