by Eric Berman - email@example.com - 781-839-5507
WALTHAM, Mass. – April 10, 2019 – The Massachusetts Association of Realtors® (MAR) reported today that the number of single-family homes put under agreement in the month of March rose over 15 percent and the number of condominiums put under agreement rose over nine percent compared to the this time last year. This marks 12 straight months of year-over-year increases for single-family homes. The median price for single-family homes put under agreement saw a six percent increase to $390,000, while condominiums saw a five percent decrease to $375,000 compared to March of 2018.
In response the March ‘Hot Topic’ question, many Realtors® reported seeing an increase in demand for listings that were considered accessible and/or designed for aging in place.
March Pending Sales:
“The buyers were out in force in March and pushed the number of accepted offers on houses and condominiums up again,” said 2019 MAR President Anne Meczywor, broker/associate at Roberts & Associates Realty, Inc., in Lenox. “I think a rather snowy March in 2018 is contributing to the big increase we saw this more mild March.”
March Realtor® Market and Price Confidence Indexes:
“Confidence in the market remained positive in March even though it was down from the same time last year,” said Meczywor. “Hopefully with interest rates continuing to go down, we’ll see the Price Index push up in April.”
Monthly ‘Hot Topic’ Question:
The ‘Hot Topic’ question for the month of March asked Realtors® to describe their clients’ demand for homes that are considered either accessible and/or designed for aging in place (i.e single floor living).
Of those who responded, almost 56 percent reported that the demand for accessible homes and/or homes designed for aging in place was either significantly increasing (14%) or increasing (42%). 36 percent of Realtors® that responded reported that demand was staying the same and the remaining six percent reported that demand was either decreasing (3%) or significantly decreasing (3%).
“As our population ages, it makes sense that the desire for houses that allow people to age in place is also increasing,” said Meczywor. “Of course, the question still remains whether our current zoning rules will allow for this type of development to take place?”
About the Data Sets:
The tracking of signed purchase and sales agreements (also called “pending sales”) provide reliable information about where the real estate market is heading in coming months.
A pending sale or a sale “under agreement” happens when the buyer and seller agree on the terms of the sale of a home and have a signed purchase and sale agreement but have yet to close and be recorded as such. MAR is the only organization, which compiles this statewide information from Multiple Listing Services each month.
Monthly pending (or under agreement) data and closed sales data comes from the three Realtor®-affiliated Multiple Listing Services in Massachusetts. They are the Berkshire County Multiple Listing Service, Cape Cod & Islands Association of Realtors® Multiple Listing Service, Inc.; and MLS Property Information Network, Inc. The data is compiled by 10K Research and Marketing, Inc. and updated each month. As a result, previous data may change after the reports have been run.
The Realtor® Index Methodology - The Massachusetts Realtor® Market Confidence Index (RMCI) and Price Confidence Index (RPCI) are based on monthly responses from a random sampling of Massachusetts Association of Realtors® members on the state of the housing market. More specifically, the survey asks members two basic questions pertaining to the real estate business in their market area in Massachusetts.
In addition to these standard questions, the survey each month includes one wildcard question that changes each month and is based on an industry hot topic.
The RMCI is calculated in the following way. Respondents indicate whether conditions are/or are expected to be “strong” (100 points), “moderate” (50 points), and “weak” (0 points). The results are the average score for each question. A score of 50 is the threshold between a “strong” and a “weak” condition. Similarly, the question about home prices over the next year (Realtor® Price Confidence Index) is calculated using five categories: “Rise 0-5%” (75 points), “Rise 5%+” (100 points), “Level” (50 points), “Fall 0-5%” (25 points), and “Fall >5%” (0 points).
About the Massachusetts Association of Realtors®:
Organized in 1924, the Massachusetts Association of Realtors® is a professional trade organization with more than 24,000+ members. The term Realtor® is registered as the exclusive designation of members of the National Association of Realtors® who subscribe to a strict code of ethics and enjoy continuing education programs.
Editors and reporters: Please note that the term Realtor is properly spelled with an initial capital “R”, per the Associated Press Stylebook.