Real Estate Trends – Wellesley, Massachusetts

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 Wellesley, MA in Norfolk County

 Wellesley MA Town Seal - Wellesley Massachusetts Real Estate

Market Trends in Wellesley, MA – October 2014 and 2015:

The Wellesley, MA market has fallen off quite a lot since last year.   Both the average listing and sale prices were down large amounts.  The median prices were down significant amounts as well.  The days on market do appear to be down slightly, though as we have seen before this might be deceptive.  Inventory was down a bit with 21 sales in October of 2014 and 15 in October 2015. 

Average Listing Prices:

To start off first we are going to look at the average listing price.  For Wellesley, MA the average listing price in October 2014 was $1,788,733.  This was down to $1,619,120 in October 2015.  This gives a sizable decrease of 9.48% year over year. 

Looking at the median prices we see that they are quite a bit lower than the averages in both years.  For October of 2014 the median listing price in Wellesley, MA was $1,595,000 and in October 2015 it was $1,290,000 which now gives a much larger decrease of 19.12%.

Average Sale Prices:

Next up we will be looking at is the average sale prices.  The average sale price in Wellesley, MA in October of 2014 was $1,723,690 and in October 2015 that was down to $1,508,161.  That gives a larger 12.50% decrease. 

We see the same basic pattern with the median sale prices as we did for the listing prices.  For October of 2014 the median sales price for Wellesley, MA was $1,550,000 and in October 2015 it was $1,284,918 giving another larger 17.10% decrease.

Prices are definitely down in the Wellesley, MA market in October.  All the indicators say prices are down more than 10%.  Since the median prices are the more preferred method and these were both down in the upper teens it is fair to conclude that prices are down more like 15% or more than closer to the 10% range indicated more by the averages.

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 house to sell in the current market.  For Wellesley, MA the average days on market in October of 2014 were 115.24 and the average days on market for October 2015 were 106.60 for a tiny 7.50% decrease. 

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 and Groton outliers in the data can really skew these numbers.  This again is the case for Wellesley, MA in October.  In this instance there was a very high days on market place in the 2014 data.

In 2014 there was a property with 662 days on market; this was more than the next 3 properties combined and over 27% 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 87.90. 

Using the adjusted numbers we see an increase of 21.27%.  This does change the general thought of the days on market being down a very small amount.  Now it looks like they are up by a moderate amount rather than being down somewhat.  While this is still not a tremendous increase it is not insignificant.

Wellesley, Mass Summary:

The Wellesley, Massachusetts real estate market is down since last year.  The average prices are down a bit and the median prices were down even more.  The days on market were up a fair amount as well, which further supports a dip in the market. 

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

 

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