Median home prices rise throughout the Pioneer Valley, sales dip due to low inventory Reply

Call Michael Seward at 413-531-7129. Less that 4% of REALTORS hold the CRS designation.

Call Michael Seward at 413-531-7129. Less that 4% of REALTORS hold the CRS designation.

Single-family home sales dipped 4.5% as median home prices rose 8.1% in the Pioneer Valley in June when compared to the same period last year, according to data cited by the REALTOR® Association of Pioneer Valley (RAPV).    Mortgage interest rates spiked during the month of June―from 3.81% at the end of May to 4.46% by the end of June― according to FreddieMac.com.

There were 23 less single-family home sales in the Pioneer Valley in June when compared with the same period last year with 485 units that sold.  There were 508 units sold in June 2012.  However, median single-family home sales rose 8.1%, from $185,000 to $200,000. 

Here are the stats by Pioneer Valley County:

County

Sales Change

Median Price Increase

Closed Units

Franklin

Down 2%

Up 18.7%

50

Hampden

Down 4.5%

Up 10.4%

316

Hampshire

Down 5.6%

Up 8.2%

119

One home sale accounted for the 2% dip in single-family homes sold in Franklin County during the month of June when compared to the same period last year, from 51 to 50 units.  Median single-family home prices rose from $174,765 in June 2012 to $221,377. 

In Hampden County, single-family home sales dipped 4.5% when compared to the same period last year, from 331 units to 316 units.   Median single-family home prices rose from $190,806 to $204,641.

There were seven less single-family home sales in Hampshire County during the month of June when compared to the same period last year, from 126 units in 2012 to 119 units this year.  Median home prices rose 8.2%, however, from $245,000 to $265,000. 

A lack of single-family inventory continues to contribute to the lack of sales in the Pioneer Valley.  According to RAPV, inventory dropped 12.3% when compared to the same period last year, from 3,157 listings to 2,769 this year. 

As mortgage rates rise, home sellers should consider listing their home because more home buyers are able to afford more when interest rates are lower.  Home buyers should consider purchasing a home now as their payment will be lower now than they will be when mortgage rates rise further.   Although interest rates have risen, they are still low when compared with mortgage rate levels before the financial crisis. 

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 michael.seward@comcast.net.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s