Newton, MA. Top Broker, Newton, MA. real estate, Compass, Sotheby’s
Is Newton Heading to A Buyer’s Market?
The real estate market in Newton is starting to feel a bit different. New things are coming to market and homes are going under agreement but it all seems — different.’
We’ve listed 3 properties in the past month and happily had over asking offers, some substantially over asking. 4 of our buyers purchased properties this month. One purchased 100k under asking, one 6o under asking and one at asking. All of these wold be considered hot properties and yet none had multiple offers. I’ve decided to dig into the numbers and see what I can decipher.
This is the market as of today:
ON Market Average Price Days on Market
130 single families $2,091,980 101
59 Condos $948,146 64
61 single families $1,449,334 32
19 condos $726,809 27
38 single families $1,249,858 29
16 condos $650,000 34
These numbers tell a story. The average list price at $2,091, 980 is 40% higher than the average sold price of $1,249,858. It took an average of 29 days to sell vs. the 100 days for the current unsold inventory. This is a supply and demand business and when new inventory outpaces under agreements a declining market is usually forecasted. I do not expect to see a significant drop in prices but there will be pushback on price which we are already seeing. Mortgage rates are up about a 1/2 point and another rate increase is expected before year-end. These increases affect the below 1.2 million dollar buyer the most.
My advice is to seek a Realtor who understands the market trends and acts before everyone else. You do not want to chase the market down.