FOR IMMEDIATE RELEASE
Editorial Contacts:
Katie Curnutte
The Warren Group
(617) 896-5370
kcurnutte@thewarrengroup.com
Home Sales Plunge to Early-1990s Level in 2007;
Median Price is $15,000 Less Than in 2006,
According to The Warren Group
December Sales Down 23%
BOSTON, Jan. 28, 2008 – There were 50,435 single-family home sales in the Bay State last year; about 5,000 fewer than in 2006, and the first time since 1992 that sales were that low. The median home price in Massachusetts also dropped in 2007, according to a report released today by The Warren Group, publisher of Banker & Tradesman.
Single-family home sales in 2007 fell 8.4 percent from 55,054 in 2006 to 50,435. During December, sales continued the sharp decline that has been evident in every month since September, and fell 23.3 percent from 4,074 in December 2006 to 3,123 in December 2007.
The median price for single-family homes in 2007 also declined, falling 4.6 percent from $325,000 in 2006 to $310,000. The median price of homes sold in December saw the largest drop all year, falling 10.5 percent from $309,000 in December 2006 to $276,568.
“2007 started with a surprising bang – a 5.8 percent increase in single-family home sales in January – but it has ended on a much more dismal note,” said Timothy Warren Jr., CEO of The Warren Group. “The large drop in sales and median prices in December signal more woes ahead, and it remains to be seen when Massachusetts will pull out of this slump. Indeed, when you look at month-by-month numbers, it seems to be getting a little worse.”
Because of the rapidly rising rate of foreclosures, The Warren Group has opted to also calculate data that excludes the effects of foreclosures deeds. Using this method, the median price of single-family homes in 2007 fell 1.5 percent from $335,000 in 2006 to $330,000. The median price in December was down 5.6 percent from $320,000 in 2006 to $302,000.
Condominium sales in 2007 fell 9.7 percent from 30,234 in 2006 to 27,316. During December, sales were down 27 percent from 2,365 in December 2006 to 1,727.
The median price of condos in 2007, when calculated by TWG’s traditional method, fell 2.6 percent from $275,000 in 2006 to $268,000. In December, the price declined 8.5 percent from $271,000 in 2006 to $247,900.
When the effect of foreclosure deeds is eliminated, condo prices in Massachusetts stayed flat at $279,000 in both 2006 and 2007. During December, the price declined 4.7 percent from $275,000 to $262,000.
Statistics regarding home sales and prices in individual cities and town available to members of the media by request.
About The Warren Group
The Warren Group, based in Boston, is the publisher of Banker & Tradesman, The Commercial Record and a series of association publications. As the premier provider of real estate data in New England, The Warren Group offers a range of real estate products and services for professionals and consumers searching for real estate and financial information. For more information about The Warren Group, please visit www.thewarrengroup.com or call 617-428-5100.
1-Family Home and Condo Sales in Massachusetts
1987-2007