In this 2023 Mid-Year in Review Housing Report, we are looking at Watertown, Massachusetts in the first half of 2023 compared to the first half of 2022 to see how the market performed in the area.
Mid-Year Data Highlights
- Watertown home sales decreased by 19.3% as there were 167 sales in the first half of 2023 compared to 207 in the first half of 2022. Average price increased by 4.7% going from $804,709 in the first half of 2022 to $842,510 in the first half of 2023. These metrics include single families, condos, and multi-families. The categorical breakdowns are listed in the infographic above.
- The number of homes listed in the first half of 2023 compared to the 1st half of 2022 decreased by 27.1%, moving from 251 to 183.
- The number of pending sales decreased by 26.9% with 155 in the first half of 2023 compared to 212 in the first half of 2022.
2023 Outlook
The Watertown housing market performed as expected in the first half of the year with a decline in sales and a small rise in average prices when compared to the first half of 2022. When comparing 2023 and 2022, it’s important to understand that the difference between the two years will be greater than usual as the market continues to adjust from a frenzied Covid market to a more balanced one. Not only have sales fallen, but the number of listings in Watertown has fallen as well. In fact, listings reached a record low for the first half of the year statewide. Potential sellers are hesitating to list their homes in an attempt to hold on to their low, pandemic-era mortgage rates. This is putting pressure on inventory levels. Additionally, buyer demand has stayed strong despite concerns over affordability factors like mortgage rates and inflation. As such, we do not expect to see a dramatic drop in prices as long as inventory remains low.
To learn more about Massachusetts’s performance, click here to read the 2023 Massachusetts Mid-Year in Review Report.
Data provided by Warren Group & MLSPin and compared to the prior year.
Additional Resources
