Real Estate Trends – Belmont, Massachusetts #2

Introduction:

Welcome back again for our latest real estate market trend report.  For those of you that are here for the first time what we do in these reports is examine the real estate market in a city or town in Massachusetts or New Hampshire to evaluate the current conditions.  We do this by looking at the changes in three key metrics year over year for the municipality to see how the market has changed and then evaluate what those observations might mean for that market moving forward.

Today we are highlighting the market in Belmont, MA in Middlesex County

 Belmont MA Town Seal - Belmont Massachusetts Real Estate

This is the 2nd time we have looked at Belmont, but it has been a while with the 1st time being way back in September of 2014.

Market Trends in Belmont, MA – November 2014 and 2015:

The Belmont, MA market has fallen off quite a bit since last year.   The average prices were both down a bit while the median prices were down by even more.  The days on market were also up a little bit as well.  Inventory nearly doubled going from 11 sales in November of 2014 all the way up to 21 in November 2015. 

Average Listing Prices:

To start off first we are going to look at the average listing price.  For Belmont, MA the average listing price in November 2014 was $1,208,809.  This was down to $1,038,805 in November 2015.  This gives a large decrease of 14.06% year over year. 

Looking at the median prices we see that it was smaller than the averages both years, but much lower than the average in 2015.  For November of 2014 the median listing price for Belmont, MA was $1,149,000 and in November 2015 it was $899,900 which now gives an even larger decrease of 21.68%.

Average Sale Prices:

Next up we will be looking at is the average sale prices.  The average sale price for Belmont, MA in November of 2014 was $1,182,420 and in November 2015 that was down to $1,019,714.  That gives another noticeably large decrease of 13.76%. 

We see a similar pattern with the median sale prices as we did for the listing prices for both years, though the gap was a bit bigger in 2014 than we saw with the listing prices.  For November of 2014 the median sales price for Belmont, MA was $1,085,000 and in November 2015 it was $894,000 giving another significantly larger decrease of 17.60%.

It is clear that prices are down in Belmont, MA in November by at least the ~14% seen with the averages.  However the medians were down a bit more and those are usually what you will see used in real estate pricing analysis.  In addition to that sale prices in the end are much more important than the listing prices so we would say that prices are probably down more like the 17-18% seen with the median sale price vs. the smaller average price declines or the more dramatic 20%+ drop seen with the median list price.

Average Days on Market:

Finally the last metric we look at are the average days on market, which is the measure of how long it takes for a property to sell in the current market.  For Belmont, MA the average days on market in November of 2014 were 35.36 and the average days on market for November 2015 were 62.38 for a vey large 76.41% increase.

However, as we have seen many times before in our previous posts for AbingtonBedfordSeekonk, BelmontTopsfieldCanton,  Dracut (Condos)HamiltonWakefield, Amesbury (Condos), Dracut #2, Taunton, Reading, Stoughton, Wrentham, Stoneham, Dedham, Nashua, NH, Tewksbury, Brockton (Multifamily), Lowell (Multifamily), Acton, Foxboro, Pembroke, Chelmsford, BeverlyFramingham (Condos), Plymouth County (Condos), Marlborough, Billerica, Waltham, Dracut (Condos) #2, Derry, NH, Framingham, Burlington, Duxbury, Acton #2 , Taunton (Condos), Tyngsborough, Milton, Salem, NH, Boston’s Hyde Park, Boston’s West Roxbury , Somerville, Canton #3, Pelham, NH, Westford, Plymouth (Condos), Boston’s Jamaica Plain , Halifax,Braintree (Condos), Newton (Multifamily), Plainville ,Boxford, Wayland , West Bridgewater, East Bridgewater, Marlborough (Condos), Natick (Condos), Gloucester, (Condos), Melrose (Condos),Norton (Condos), Newburyport, Atkinson, NH, Fairhaven, Lexington, Arlington (Condos), Salisbury, Weston, Groton, Wellesley, Littleton, Lowell (Condos) #2, East Boston (Condos), Dedham #3, Hanover and Canton (Condos) outliers in the data can really skew these numbers.  This again is the case for Belmont, MA in November.  In this instance there was a very high days on market place in the 2015 data.

In 2015 there was a property with 346 days on market; this was almost as much as the next 3 properties combined and over 26% of the total days on market for all 21 Properties.  When removed the new calculation for the remaining 20 properties gives an average days on market of 48.20. 

Using the adjusted numbers we now get a much more modest decrease of 36.31%.  This does not really change the general conclusion of the days on market being up.  It does however change the impact of that with it originally looking like they were up a very large amount but now only appear to be up some but not a tremendous amount. 

Belmont, Mass Summary:

The Belmont, Massachusetts real estate market is down a bit since last year.  The average prices were down significantly while the median prices were down by quite a bit more.  The days on market were up a fair amount as well, which also supports the observation of a weaker market. 

In summary if you are looking to sell a property in Belmont, MA now you should expect to get much less for it than you would have gotten last year.  You can also expect it to take a bit more time to sell compared to last year too. 

 

Do you need to sell your Belmont, 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: Belmont MA Town Seal via Wikipedia)

 

 

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