ResalesUpscale Massachusetts Towns Report Slightly Cooling Market
Buyers and sellers are getting further apart on home prices, report Massachusetts Realtors in upscale communities, and that could lead to price adjustments.
Harvard
"In Harvard, as in many other high-end towns," says Realtor Maureen Harmonay, "there is a significant disconnect between the prices that sellers are expecting to receive and the prices that buyers are willing to pay. This chasm can be dramatically illustrated by the contrast between the list prices of the current inventory and the sales prices of the homes that have sold this year through November 10th."
"At present, there are 48 MLS-listed homes available, with an average price of $837,415 and a range from $347,000 to $2.6 million," explains Harmonay. "There are 26 homes currently on the market in Harvard for $600,000 or more. Since January 1st, however, a total of 56 MLS-listed homes have closed, for an average price of only $466,851, with a top price of $950,000. Only 12 of these homes were sold for a price of at least $600,000.A significant percentage of the homes on the market now have already seen price reductions, but there is scant evidence that the reductions are fueling the kind of buyer enthusiasm that we have seen in years past. One of the highest priced homes, a charming antique farmhouse on 6+ bucolic acres, has been reduced, over the last several months, from $3 million to $2 million. It is still on the market. We are seeing meaningful price concessions even at the "lower" (under $500,000) tier of the market, but even here, buyers do not seem to be rushing in, despite a highly favorable interest rate environment. My view is that most of the current inventory in Harvard is overpriced, and that before it is sold, we will see an adjustment, but not a crash."
Newburyport
Says Realtor Deborah McManus, "Newburyport is a city of delights on the banks of the Merrimac River. There isn"t anything you won"t find here in Newburyport! With train service into Boston, a variety of wonderful restaurants, local theater and shops galore, this is definitely a destination point for weekend fun! Beaches, boating or just people watching encourage all sorts of outdoor activities. Just off route 95, Newburyport is easy to find."
Says McManus, "Newburyport continues to have lots of activity in home listings and sales. In September, there are currently 44 single family homes on the market for sale, with an average listing price of $565,000. Condominiums see 51 listings with an average price of $334,000 and a market time of 82 days.The market time for single families is just about 80 days, which is lower than some of the neighboring towns at this time."
"Land is at a premium in Newburyport," says McManus, "and if one can find a buildable lot ready to go and priced right, it shouldn"t be on the market long. The fall market continues to be strong, and buyers are still stepping up to the plate to get the home of their choice."
Lexington
Realtor Ann Landau says, "Lexington, a suburb of Boston, is an historic community with upscale amenities. Public Schools are topnotch. Hayden Center has an ice rink and gymnasiums and offers activities in addition to the schools. An active civic life is possible here."
Landau advises, "The market feels like it is slowing, and yet homes are selling and not far off of asking. It is important for buyers to be preapproved (not just prequalified) and be able to submit such a letter when making an offer. Also sellers are not interested in offers contingent upon the sale of another property. Currently there are 94 single family homes on the market with an average list price of $1,339,120 and an average market time of 87 days. Of these 94, there are 24 homes over 1 million, 12 homes over 2 million, six on for 3 million plus, and one at 4.6 million. The lowest price home today in Lexington is a six-room colonial for 369K. Condos include 17 for sale at an average price of $598,817 with the lowest price being 379K.Average market time for condos is 75 days. The inventory of $1 million plus homes is growing. The overall ratio of selling price to listing price for single families is 99 percent however for two and three bedroom homes it is 102 percent and 100 percent respectively which reflects the strong desire of buyers to just get into Lexington schools. Condos are running a 100 percent ratio overall."
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