Bay State Home Sales Take a Nose Drive in June

If someone tells you it is not a buyers market then you should have them read this press release below from the Warren Group, a Boston real estate tracker. Their latest numbers show Massachusetts home sales posted the worst June in two decades.

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Single-Family Home, Condo Prices Creep Up In June

BOSTON, July 26, 2011 - Massachusetts single-family homes sales dropped again in June, plunging to the lowest level for the month since 1991, according to the latest report by The Warren Group, publisher of Banker & Tradesman.

Single-family home sales slid 23.5 percent in June, the fifth straight month of double-digit percentage decreases. A total of 4,313 single-family homes sold in June, down from 5,639 a year earlier. This marks the worst June since 1991, when there were 4,243 sales.

Second quarter home sales totaled 10,414, a near 26 percent decline from 14,010 in the second quarter of 2010.

“This year’s sales slump is carrying on as we compare the level of home sales in 2011 to the inflated number of sales driven by last year’s homebuyer tax credits,” said The Warren Group CEO Timothy M. Warren Jr. “However, June is typically one of the busiest months of the year for real estate closings. It is disappointing to see such a steep decline. Since June is the last month affected by the homebuyer tax credit, we’re hopeful that coming months will bring some positive news.”

Year-to-date home sales are also down 20 percent. From January to June, a total of 17,057 single-family homes have sold, compared to 21,322 during the same period a year ago.

For the second consecutive month, year-over-year home prices increased. The median sale price of single-family homes statewide crept up to $325,850 in June, up from $325,000 in June 2010. The year-to-date median sale price is $290,000, down 1.7 percent from $295,000 during the same period last year. However, quarterly prices increased 1.33 percent to $304,000, up from $300,000 during the second quarter 2010.

“A second straight month of increasing prices is a promising indicator that buyers are beginning to re-enter the market, and downward pressure on home prices is abating,” Warren added.

Bay State condominium sales also declined in June, dropping almost 32 percent from a year earlier. A total of 1,706 condos sold in June, down from 2,504 a year earlier. Year-to-date condo sales also decreased close to 30 percent to 6,850 from 9,727 a year earlier.
Condo sales for the second quarter also slipped significantly from a year earlier. In the second quarter, 4,106 condos sold, down almost 35 percent from 6,282 during the same period a year ago.

Median sales prices of condos increased again in June. The median selling price was $295,000, up 4.6 percent from $282,000 a year earlier. The second quarter median condo price rose almost 9 percent to $289,000, from $265,975 in the second quarter 2010. The year-to-date median price of condos in the Bay State is $268,050, up 3.5 percent from $259,000 a year ago.

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Posted by jcashman on Aug 1 2011. Filed under Business, Top Stories. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry