Quick Real Estate Condo Market Overview for Hanover and neighboring towns – 3rd Quarter
The need for condo style living in alive and well in Hanover and neighboring towns. Recent studies show that existing homebuyers in this area are either looking to downsize from their single family home or buy their first home in a maintenance-free community. As a result, new communities like Sconset Landing fit the bill and are sought after by area residents. Average condo price in Hanover has increased by 34% from over a year ago, partially due to new stock coming onto the market and partially due to prices increasing in Hanover; both a positive sign of a healthy market.
Moving into something new can be fun and exciting, can mean less headaches (because it is new) and can be an easy process if you are armed with the right information. Understanding market timing and price in selling your existing home can help take the guess work out of when to list and at what price you might expect to sell your home which in turn helps you determine the dollar amount you have available to spend on your new home. The best way to get this information is to engage a local broker and get a comprehensive market analysis done today.
The Overall Market (towns included: Hanover, Pembroke, Hingham, Hanson, Marshfield, and Norwell):
According to Trulia, as of this time last year, the median condo sales price in the South South area has increased from $414,450 to $429,000. The days on market for quarter 3 ranges from 50-100 days, which suggest a “sellers” market as a market at equalibrium (neither a buyers or sellers market) is typically closer to 180 days or 6 months. Overall, this means the real estate market is healthy from a selling price perspective. One great thing about today’s market is that due to the continued record low interest rates being offered by most banks, buyers have greater purchasing power and can afford to pay more and still keep their payments down on a month basis. For an existing renter, we are starting to see in many cases that it is cheaper to own versus rent if a 5% or more down payment is possible.
Most recently in September, the South Shore area as defined above experienced a total of 17 condominium sales. The most common sales price was between $350,000 and $399,999, with two total sales within that price range. The average price of the 17 total condo sales in September was $379,456 with a high water mark of $1,136,250. The price range that spends the most days on market is the $600,000 to $699,999 range, with an average days of market on the high end at 258 days. The price range that saw the quickest sale turnaround continued to be in the $450,000 – $499,000 range, but with only one sale in that range with a days on market of 45 days, it is not a big enough sample size to determine a trend. The average days on market for the month of September was slightly lower than August at 91, or approximately three months.
In August, the South Shore area as defined above experienced a total of 20 condominium sales. The average price of the total condo sales in August was $472,810, with a high of $1,002,000. The price range that spends the most days on market is between $800,000 and $899,999 at an average days on market of 226. The price range that saw the quickest sale turnaround was the $450,000 – $499,000 range, seeing an average days on market of 50 days. The average day on market overall for the month of August was 95, almost double what we saw in July. This is not surprising as real estate is cyclical and July and August are typically slower months from a sales perspective, so inventory can sit on the market a little longer as buyers shift their focus to summer fun and away from home buying. In late August, you start to see more homes come onto the market as buyers’/sellers’ focus shifts to purchasing/selling a home in the Fall.
At the start of summer, the South Shore area experienced a total of 13 condominium sales in July. The most common sales price was between $450,000 and $499,999, with four total sales within that price range. The average price of the 13 total condo sales in July was $673,677, with a high of $1,265,000. The price range that sees the quickest sale turnaround is the $500,000 – $599,000 range, with an average Days to Offer of 3 days and an average Days On Market of 14 days. The average Days on Market for all July sales was remarkably low at 49 Days on Market. This shows us most of the inventory was absorbed in the Spring market (April/May & June) so not much remaining inventory going into July.
Happy House Hunting!