Massachusetts home sales fell in March because of a shortage of homes on the market according to the monthly residential real estate market report of the Warren Group on April 23rd, 2013.
Single-family home sales dropped 3.6 percent to 3,100 in March when compared with the number sold in March 2012, said the Warren Group. That tight inventory helped the median price to rise more than 8 percent to $285,000 on a year-to-year comparison basis.
Low inventory is plaguing housing markets all over the country, and Massachusetts is no exception. With mortgage rates low and prices competitive, more sellers will emerge and the trend in dropping home sales will reverse. It’s clear that the low supply of homes for sale is continuing to pressure prices.
A recent Globe story noted that a common pattern has been emerging this spring: There are too many potential buyers and too few sellers, resulting in bidding battles in many Boston-area neighborhoods.
In any case, the Warren Group noted that in March 2013, Massachusetts condo sales decreased by more than 2 percent to 1,211 on a year-to-year comparison basis. The median price for condos sold in March was $261,000, up more than 1.5 percent.