Condo Sales in Massachusetts Up for 5th Straight Month
There were 2,146 condos sold in Massachusetts last month, up 6.5% from May of last year, according to data provided by the Warren Group. This makes the fifth month in a row condo sales have increased compared to the same month in 2013.
Sales of all types of homes combined (single-family, condos, and multi-family) have been down 3 months this year, including May.
Single-family and multi-family home sales in May this year were both down compared to May of last There were 4,482 single-family home sales last month compared to 4,820 in May of last year, a decrease of 7%. 551 multi-family homes sold in May compared to 602 last May, a decrease of 8%.
Single-family home sales have been down every month this year except for January.
As we saw last month, the demand for condos is high, particularly in the Greater Boston area. More empty nesters are downsizing and moving into condos because of the convenience and low-maintenance. Many first-time home buyers choose condo living because of proximity to work, shops, and cultural attractions.
Investors are putting their money into condo developments because it’s more profitable than building single-family homes. The more condo units they build the more they can make on their investment. Some investors buy up existing multi-family homes and convert them into condos, which we’re seeing in many Boston neighborhoods. Even with new construction and condo conversions, the inventory for condos is down 11% in May compared to last year.
Average selling prices for all types of homes rose in May 2014 compared to last May. Single-family home prices increased 5% from $392,721 last May to $411,814 in May 2014. Condo prices increased 6% from $277,020 to $292,982, and multi-family selling prices went up 8% to $393,714 last month compared to $363,193 last May.
Southern New Hampshire Condo Sales Down
Condo sales in Southern New Hampshire (Cheshire, Hillsborough and Rockingham Counties), are down 2% compared to May of last year. There were 267 condo sales in Southern New Hampshire compared to 262 last May. Prices are down as well. The average selling price for a condo for these counties was $187,664 in May compared to $198,511.
Average selling prices in May for single-family homes, however, are up 13% in Southern New Hampshire. The average price was $291,681 compared to $259,117 last May.
Source: Reports provided by The Warren Group. Copyright ©2014 The Warren Group. All Rights Reserved.