Happy New Year and welcome to the first Sudbury MA Real Estate Market Conditions report for 2007. Well, we’ve all heard the media reports: a decline in both the number of sales and in the median sale price statewide, with an increase in the number of homes available and the time on the market.
Market conditions for real estate in Sudbury are in line with the rest of Massachusetts, as follows: there were 188 single-family homes sold compared with 227 in 2005, minus 17%. The median sale price was $675,000 vs. $745,000; minus 9.3%. There were 404 listing contracts signed; 216 price adjustments/reductions compared with 355 listing contracts in 2005 and 172 price adjustments. The average time on the market increased from 116 days in 2005 to 134 days in 206.
Currently, there are 119 single-family homes on the market in Sudbury up from 79 on 1/2/2006. List prices range from $322,500 to $2,199,000. Both median and average list prices are down – the median is $799,900 vs. $879,900 one year ago; and the average is $953,577 last year. Current average time on the market is 214 days vs. 171 last year. It is difficult to understand why the current median list price is still so much higher than the median sale price – sellers need to get realistic.
Have prices adjusted enough for the market to absorb the excess inventory or will prices continue to adjust downward? Some experts predict further adjustments, most are saying that prices will remain flat for most of the year, but are concerned that interest rates will go back up again, eroding purchasing power especially for first-time buyers. Who really knows? What we do know is that people always need places to live and they can’t and shouldn’t put their lives on hold indefinitely trying to time the real estate market. The only way to know when the market has hit bottom is after it starts going up again, and then you’ve missed the boat!
So, if you’re ready to move – your family is growing, you’re ready to down-size or make your life easier, maybe you have new job, just got a great bonus or promotion, are combining households with someone special… all good things, then take advantage of the excellent choices available along with current low interest rates. If you have to sell a home before you can buy, price it correctly – it doesn’t matter what your neighbor sold for, that market is over.
And buyers, since most sellers are reluctant to adjust their prices, they think it reflects poorly on their homes, don’t be afraid to find a buyer agent who knows the market and can help you structure an offer. Negotiations are going to more important than ever this year, so get some help and let's get moving!
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