Sources inside the Massachusetts Association of Realtors (MAR) report that next week’s monthly existing home sales results will show that March single family home sales crashed 32.3% on a year-over-year basis while condo sales collapsed a stunning 38.0% over the same period.Further, the single family median selling price declined a whopping 8.4% on a year-over-year basis to $315,000 while the condo median selling price slumped 5.3% to $263,750.
It’s also important to note that the March single family home sales count was the lowest March count on record since 1992 and at 2339 units sold was 34.11% below the record March peak set in March 2006.
As for the Multi-Family market (a good indicator of the plight of the investor-speculator), MAR reports that statewide sales declined 20% in the first quarter of 2008 with a 30.5% decline seen in the Greater Boston area resulting in a TRULY STUNNING 28.4% decline to the median selling price on a year-over-year basis.
The following charts (click for larger) show the decline in single family home sales since 2005.
Notice that March 2008 is registering a home sales count well below even the 2007 level as well as indicating that the April’s results will likely be well below 3000 units, a significant decline.
After over two years of declining home sales, weakening home prices and now looming recession it appears that Massachusetts has just entered the price “free-fall” phase of the housing decline where home prices continuously drop even through the spring months which are typically strong in the region.Stay tuned as next week the S&P/Case-Shiller home price index results will be available for Boston likely showing the most significant decline in the last 12 months.
