Median single-family sale price hovers above $400,000 for third consecutive month
BOSTON, September 26, 2018 – The Massachusetts median single-family home and condominium sale prices continued to climb in August on a year-over-year basis, according to a new report from The Warren Group, publisher of Banker & Tradesman.
Last month, the median single-family sale price increased 5.8 percent to $402,000, up from $380,000 a year earlier. The median single-family home price has now exceeded $400,000 for three consecutive months. Single-family home sales in August totaled 6,818 transactions, a 0.8 percent increase from August 2017. Year-to-date, the median price rose 6.4 percent to $389,500 while sales edged 0.6 percent lower with 40,035 transactions.
“The median single-family sale price has increased on a year-over-year basis every month so far this year, which is a clear indicator that the shrinking inventory is continuing to push prices higher,” said Tim Warren, CEO of The Warren Group. “The median price is usually at its highest in the summer months. I doubt it will contine over $400,000 in the coming months, but it is clear that strong demand is pushing prices to new records this year.”
Concurrently, there were 6,141 purchase mortgages for single-family homes in August, marking a 1.7 percent increase on a year-over-year basis. August purchase mortgages totaled $2.44 billion – a 0.4 percent increase from a year earlier. Year-to-date, single-family homes have accounted for 35,595 purchase mortgages across Massachusetts totaling $14.03 billion.
Condominium sales in August totaled 2,618 transactions, marking a 1.1 percent decrease from a year earlier. Meanwhile, the median condo price climbed 6.9 percent to $365,000 – the highest price ever achieved for the month of August. Year-to-date, condo sales increased 2.6 percent with 16,986 transactions compared to the same period in 2017, while the median price rose 10.1 percent to $375,000.
“The rise in the condo median price has outpaced the rate of increase in single-family homes this year due to newer, more expensive units being delivered to the market,” Warren said.
Condos accounted for 1,891 purchase mortgages last month, a 2.0 percent decrease on a year-over-year basis. August condo purchase mortgages totaled $650 million, a 1.2 percent decrease from August 2017’s $658 million. Year-to-date, condos have accounted for 12,368 purchase mortgages totaling $4.42 billion.
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