Massachusetts 2015 Condo Market Review

This Massachusetts 2015 Condo Market review shows that sales in 2015 were steady, while prices overall rose 3%. But – and it’s a big but – the inclusion of Boston in numbers for all 353 cities and towns in the State distort the result. In this report I break out Boston and show how the rest of the State fared in 2015.

Sales
Condo sales in Massachusetts have been steady for the last three years, but are still sharply down from the 2005 peak.

Source: MLS, Oliver Reports

Median Price
It may appear surprising, at first blush, that the median price of a condo in Massachusetts should show a 20% increase over the 2005 level. There is a one word explanation: Boston.

The first chart shows just the overall condo market, while the second breaks out Boston and shows Massachusetts ex Boston. Removing Boston from the calculation reduces the increase since 2005 to 10%, while the median price in Boston has increased more than 50% in the same period.

Source: MLS, Oliver Reports

Summary
The inclusion of Boston condos – the main market in the city – distorts the numbers for the State overall. Nevertheless, it is encouraging that the median condo price, excluding Boston, still reached a new paek level in 2015.

The Massachusetts economy remains strong – GE’s decision to relocate to Boston will only help – and mortgage rates are once again close to all-time lows.
Barring geopolitical disasters, the outlook for 2016 is for a gently improving market in Massachusetts.

If you – or somebody you know – are considering buying or selling a home and have questions about the market and/or current home prices, feel free to contact me on 617.834.8205 or Andrew.Oliver@SothebysRealty.com.

Read Which broker should I hire to sell my home?

Andrew Oliver is a Realtor with Harborside Sotheby’s International Realty. Each Office Is Independently Owned and Operated

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