Sources inside the Massachusetts Association of Realtors (MAR) report that next week’s monthly existing home sales results will show that in May single family home sales dropped 10.1% on a year-over-year basis while condo sales collapsed a stunning 24.5% over the same period.
Further, the single family median home value declined a whopping 9.2% on a year-over-year basis to $322,500 while condo median prices declined 2.6% to $282,500.
It’s also important to note that the May single family home sales count was the lowest May count on record since 1992 and at 3491 units sold was 24.43% below the record May peak set in May 2004.
The following charts (click for larger) show the decline in single family home sales since 2005.
Notice that May 2008 is registering a home sales count well below even the 2007 level as well as indicating that the June’s results will likely be well below 5000 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 a continued decline even during the typically strong spring selling season.