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)

 

 

Real Estate Trends – Belmont, Massachusetts

Introduction:

In our latest report on the local real estate trends in communities we work with located in Massachusetts and New Hampshire, we will show the ways the local real estate market has changed year over year in the town or city being discussed. As always all real estate is local so despite national, regional and state trends any given city or town can be going up, down or staying pretty much the same.  In the cases where a municipality is seeing a slowdown in the market sellers may want to adjust their expectations of price and speed at which they can sell their properties.

Today we are highlighting Belmont, MA in Middlesex County, a very affluent community north of Boston and home to former MA governor and 2012 republican presidential nominee Mitt Romney.

Belmont, MA real estate - Town Hall 1913

Market Trends in Belmont, MA – August 2013 and 2014:

The real estate market in Belmont has slowed down since last year according to our MLS data.  Average listing prices are down and so are the average sale prices; however the average days on market are actually down a bit, which is similar to our last report on Seekonk, MA (and like that report this is somewhat deceptive).  The number of sold properties went down slightly from 21 to 18.

Average Listing Prices:

In August 2013 the average listed price for a single family house in Belmont, MA was $1,067,614; by August 2014 that had declined to $980,722. This is a fairly significant 8.14% decrease year over year.  This indicates that people are paying less than last year.  The Realtors in town are trying to meet this decrease by adjusting down the prices they are telling clients to list their properties at.

Average Sale Prices:

The average sale price in August 2013 in Belmont was $1,056,536; in August 2014 that was down to $981,111.  That is a decrease of 7.14%, a little bit less than the listing price numbers above.  This shows that to some extent that the local real estate professionals are getting prices adjusted in line with market realities and aren’t taking bigger hits than necessary in the sales price compared to several of our past Market Trendreports.

Average Days on Market:

While prices are down one encouraging thing for sellers in Belmont is that the days on market are actually down a bit.  Back in August 2013 the days on market there was 52.05; but in August 2014 it was down to 38.56, that is a 25.9% decrease.   As mentioned earlier we did see this same pattern in the recent article on Seekonk, MA but this is actually a little abnormal.  It is much more common for the days on market go up when prices are going down.  With declining prices people are likely to list a property to high to start. In several of our previous reports (Abington, Bedford and Seekonk) these small number of overall sales can have numbers thrown out of whack with a single major outlier.  In the case of Belmont this is actually true again.  While 2014 does not look odd at all with numbers but there is a single place in the 2013 data that is throwing the numbers way off.  One place was on the market for 464 days, which is almost double the 2nd and 3rd highest put together.  If you remove this point the other 20 properties averaged out to 31.45.  If you use that number instead days on market actually did increase 22.6%.  It is a more accurate representation to use the adjusted number for this particular metric.  This also mitigates some of the good news for sellers that they were getting at first glance.

Belmont, Mass Summary:

With lower listing prices and lower sale prices the market in Belmont, Massachusetts has slowed down since last year.  The decrease in days on market was an artifact of one abnormally long sale last year and when adjusting for that, those have moved somewhat in the wrong direction for sellers as well.  Sellers in Belmont may have missed the 2013 peak in the market and may not be able to get the same prices this year. In summary if you are looking to sell your Belmont, MA house now you should expect to get less than you would have gotten last year and will need to take a discount off your listed price to avoid long drawn out sales process.

 

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: “PostcardBelmontMATownHall1913” Published by F. M. LeBonte, Druggist, Belmont, Massachusetts)