Real Estate Trends – Dedham, Massachusetts #2

Introduction:

Welcome back for our latest real estate market trend report examining real estate market in a city or town in Massachusetts or New Hampshire.  For those reading one of these for the first time what we do is examine three key metrics for the town or city and try to evaluate where the market is and might be going in the near future.  Today we are going to be looking at the Dedham, MA market again after a few months.  This is our 2nd consecutive report doing this with our 2nd look at Lowell, MA the other day.  As mentioned in that post we will start to do more of these follow ups as we have fewer new places to evaluate.

As stated above today we are revisiting Dedham, MA in Norfolk County

Back in January we looked Dedham’s market and saw it was down significantly.  This was pretty surprising since the Great Boston area is still generally considered to be pretty hot.  So now we wanted to check back to see if that trend has continued or if the December data was just an aberration.

Market Trends in Dedham, MA – March 2014 and 2015:

The Dedham, MA housing market has actually continued the downward trend in March as well.  Both the average listing and average sales prices were down a fair amount.  The days on market were down some which was also previously seen.  Inventory was up a bit with only 10 sales in March of 2014 and 15 in 2015.  While both volumes are down from the corresponding December numbers the trend of significant more inventory year over year is similar to what was seen before. 

Average Listing Prices:

The first thing we are going to look at is the average listing price.  For Dedham, MA the average listing price in March 2014 was $451,050.  This was down a bit to $403,793 in March 2015.  That gives a sizable decline of 10.48%.  While quite large this is actually smaller than the 12.91% drop we saw for Dedham, MA in December!

Average Sale Prices:

The next item we are going to be looking at is the average sale prices.  The average sale price for Dedham, MA in March of 2014 was $434,750 and in March 2015 that was down to $398,050.  That gives a noticeably smaller decrease of 8.44%.  This is still a pretty big decrease year over year.  It is worth noting that back in the December data the sales fell 15.09% so now the drop is sales price is a bit less than the listed prices while before it was higher.  This could mean that over these last few months the local real estate agents realize the market is falling and has started to do a better job compensating with their listing advice.

One other point worth noting is that prices are down a lot since we first looked at Dedham, MA.  The average sale price we saw in December of 2014 was $450,660 so there is an 11.67% drop since then.  That is pretty big.  What is even more surprising is that with the general seasonality of real estate you expect December to be near the lowest levels of the year which March should be on the upswing near the annual peaks.  This makes it even more apparent that this market is going down and pretty hard in my opinion.

Average Days on Market:

Finally we will look at the average days on market, which is the measure of how long it takes for a house to sell in the current market.  For Dedham, MA the average days on market in March of 2014 were 101.20 and the average days on market for March 2015 were 83.13, for a modest 17.86% decrease.  This is almost the exact same as the 17.19% decrease year over year we saw previously in December.  Same basic observation as we made at that time that with the big price decreases at least sellers are able to move things a little faster than last year.

It is worth noting as above with the sales prices that the days on market are up since our previous article.  So while down some year over year they went from 56.96 in December of 2014 to 83.13 in March of 2015 for an increase of 45.94%.  Again this is even more surprising since December is considered one of the worst times to sell and March is generally a much better time.

Dedham, Mass Summary:

The Dedham, Massachusetts real estate market has continued to decline significantly since last year.  The drops in both listing prices and sale prices were very significant, though smaller than seen previously.  The modest decrease in days on market do give some small consolation to sellers.  Besides these year over year changes the significant drop in prices and increase in days on market since December should also be a major concern for sellers at this time in Dedham, MA.

In summary if you are looking to sell a house in Dedham, MA now you should expect to get much less for it as you would have last year.  The days on market are going done year over year, but are pretty high still and have been going up over the last few months so you should consider taking a discount to sell it.   

 

Do you need to sell your Dedham, Massachusetts house fast?  If you would like to sell your home fast and hassle free schedule a consultation with us today.

Please share your questions and comments below.

 

 

 

(Image credit:  “Fish sculpture at Mill Pond Park” via Wikipedia)

 

 

 

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