Single-family sales and single-family median home prices were both up in every county in the Pioneer Valley during the month of October, according to data released by the REALTOR® Association of Pioneer Valley (RAPV). Homes put under-agreement in October were also up regionally and in across Massachusetts. Nationally, existing home sales and new home starts are also up. Taken together, this information demonstrates that the real estate market is continuing a positive trend and increasing momentum.
Pioneer Valley home sales were up 33.6% and median home prices were up 1.5% across the Pioneer Valley. The chart below breaks down the data by county.
|County||Sales Increase||Median Price Increase||Closed Units|
Hampshire County saw 87 single-family homes sold in October, which was up 33.8% from the 65 homes that sold during the same period last year. Median home prices also rose from $232,611 in 2011 to $239,725 in 2012.
Franklin County saw the largest jump in the number of sales from 26 single-family homes sold in October 2011 to 41 single-family homes sold in 2012 for a 57.7% increase. Year-over-year median home prices rose from $157,000 to $161,000.
The 273 homes sold in Hampden County during October accounts for a 30.6% increase over the same period last year, when 209 single-family homes were sold. Median home prices also rose 3.7% from $162,000 to $168,000.
According to RAPV, there was also a drop in inventory in the Pioneer Valley at the end of October when compared with the same period last year from 3,058 to 2,861, respectively. This brought the supply down from 10.2 month’s supply of listings to a 7.1 month supply of listings at the current rate of sale, which isn’t enough listings for a balanced market. The range for a balanced real estate market is 7.5 and 8.5 months of supply.
The data for single-family homes put under-agreement during the month of October indicates that the real estate sales will continue to improve in the months ahead. According to RAPV, year-over-year increases in single-family homes put under-agreement have continued for 11 straight months―from 390 in 2011 to 499 in 2012 for a 28% increase in pending transactions. Statewide, there was a 35.9% increase in pending transactions in October when compared to the same month last year―from 3,204 to 4,355.
“Although there was the potential for buyers to delay their purchase of a home until after the election, pending home sales had its largest year-over-year increase since April 2010, which was the final month to qualify for the home buyer tax credit,” said 2012 MAR President Trisha McCarthy. “This increase heightens the probability that the market will remain strong through the remainder of the year and into 2013.”
The real estate market did well in October nationally, as well. According to the National Association of REALTORS® (NAR), existing home sales, which includes single-family homes, condominiums, townhouses, and co-ops; rose 2.1%. Median home prices were up 11.1% when compared to the same period last year.
New home construction is also up, according to a news article by the Associated Press. AP reported that the pace of new construction is the fastest it has been since July 2008.
If you are planning on buying or selling a home in the Pioneer Valley, make your first call to Michael Seward at 413-531-7129 or email me.