A Different Real Estate Market?
Updated: Feb 23
The national media continues to describe a real estate market that is sliding, and I continue to look at the local market statistics to see if we should be concerned here in Metrowest Boston. So far, the numbers are holding up well.
In my December update, I described one of the key statistics that I follow, months of inventory. As a reminder, that stat helps to understand the balance between buyers and sellers. When months supply+ is below 6 months, sellers have a relatively easy time selling their home and when it is above 7, buyers have plenty of choices.
Last year, the local market moved from 1/2 month to around 2 months supply. With mortgage rates rising, some buyers went to the sidelines, but well priced homes in good condition were still selling fairly quickly.
That trend continues this year. The graphic above highlights two numbers that are worth noting. The first number, 60 pending sales in the market area I follow,* has increased rapidly over the past month. It seems that some of those sidelined buyers are back in the market this year. These pending sales are averaging about 44 days on the market, down from 52 days late last year.
The second number worth noting is the number of homes for sale in this region with an asking price of less than $1,000,000. There are only 29 active listings across these four towns under a million dollars, which isn't enough houses for the number of buyers. Almost the same number of houses sold in just the last month which shows lower priced houses are very much in demand, and relatively few available for sale.
The bottom line is that the doom and gloom of the national media describing the national real estate market does not seem to be affecting Metrowest Boston, so jump on in!
If you are interested in a quick and simple estimate of your current home value based on nearby sales, check out this free online tool:
+ Months supply = number of homes currently for sale divided by number of homes sold in the last 30 days. For example, if 60 homes are for sale and 20 sold last month, then months supply = 3.
* I carefully track Sudbury, Acton, Wayland & Concord because I work most actively in these towns. The stats are similar across all of metro west Boston.