Sales of single-family homes and condos in Massachusetts fell in February as house prices rose further.
Sales of single-family homes fell 14.7% last month, with the median home sale price rising 5.4% on an annual basis to $470,000 from $446,000 in February 2021, according to The Warren Group.
Tim Warren, CEO of The Warren Group, said on Monday that buyers are chasing a dwindling inventory of available homes, noting that the Massachusetts Association of Realtors reported that inventory of single-family homes for sale fell 50% in January. . “New listings and pending sales also declined,” Warren said, “February was the eighth straight month that the number of homes sold declined while the median price continued to rise. familiar, which is likely to continue unless sellers flood the spring market with new homes.”
Condo sales in February were down 17% on the year, with the median condo sale price rising 5.3% to $440,000. Median sales prices for homes and condos in February both set new records.
On March 22, Governor Charlie Baker identified Massachusetts’ tough housing market as the biggest headwind on the local economy.
Public policies have so far failed to bring about a large increase in housing production, and critics of local zoning control say the dynamics often work against the creation of new supply and more options for buyers.