Digging Deeper into the Warren Group’s Numbers for Newton

I posted these numbers April 1st using MLS market sold statistics. Do these numbers make- sense-yes and no, all parameters must be taken into account, not just price.
First, MLS statistics have Newton’s median price up about 2%, not down, the median price was $717,500 in 2008 versus $735,000 in 2009. MLS uses only homes listed publicly for sale by a member of Multiple Listing Service. I got a lot of flack for posting average numbers in my last blog post which showed 2009 down 7% from the same period last year. $875,124 in 2008 versus $807,163 in 2009.
Since April 3rd we have seen inventory rise to 245 single family homes,
184 condos for a total of 428. 105 above 1 million, and 31 above 2 million. 54 homes have gone under agreement in the past month, however, 99 new listings have come on the market, so twice as many new listing are coming on than going off. This is not rocket science; we are clearly in a depreciating market. Sellers who understand this concept and act first to lower prices or list with a realistic price will reap the rewards, because buyers out there.

Let’s look at what I posted on April 1st.

Newton Housing Stats 1st Quarter ‘09 vs. ‘08
Posted by szerlip under Uncategorized | Tags: Greater Boston Real Estate, Newton/Brookline Real Estate, REAL ESTATE |

The 1st quarter year over year results are in for Newton Single Family Homes

‘09
Homes Sold 45
Average Sale Price $811,100
Median Sale Price $735,000
Days on Market 90
Highest Price $3,000,000
Lowest Price $314,000

‘08
Homes Sold 77
Average Sale Price $875,124
Median Sale Price $717,500
Day on Market 113
Highest Price $1,850,000
Lowest Price $375,000

Prices are down about 7% from 1st quarter of ‘08. Volume is down a whopping 40%, but days on the market is also down, from 113 days in ‘08 to 90 days in ‘09. The market is struggling the most at the high end. So far this year there have been nine sales above $1,000,000 compared with 21 at this time last year. Only two house have sold above 1.5 million 1st qurter this year, last year 12 homes sold above 1.5. At this point Newton has 26 homes priced above 2 million dollars, (a record) expect to see homes withdrawn or price reductions to get the high end moving again.

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