Home and condo sales were on the rise again last month, marking July as the 11th month in a row of improved sales. Despite the increase, the pace of growth was the slowest in four months, according to a recent report from the Greater Boston Association of Realtors, which also found the median selling price-appreciation rate easing as home values continue at or near record highs.
Single-family home sales grew 6.7% over last year, with the sale of 1,678 homes, compared to 1,572 homes sold in July of 2020, making it the sixth-most active July on record for Greater Boston home sales.
On a month-over-month basis, however, sales volume was down 10% from the 1,865 homes sold in June.
Condominium sales set a new record for July, up 25% to 1,423 from 1,138 condos sold a year before. Similar to the monthly decline in single-family home sales in July, condo sales fell 12% from 1,617 condos sold in June.
GBAR President Dino Confalone said that after months of unprecedented demand, the association is seeing a more “relaxed pace to the market” this summer.
“Since Memorial Day, activity hasn’t been quite as strong as it was this spring, with some buyers pulling back to reassess the market and others opting to focus on vacation travel, family events and other summer activities,” he said in a release. “There’s also been a steady stream of new listings coming onto the market since June 1, and that’s giving buyers more options and time to look for a home.”.
Demand may be softening, but according to the report, sales prices continued to climb, just not as aggressively.
The median price of a single-family home rose for the 21st month in a row in July, posting a 12.1% gain from last year’s $700,000., The increase was the smallest price gain in six months. In the condo market, the median selling price increased 8.2% from a year earlier rising to $640,000 from $591,250, the smallest price increase for condos in four months. Median selling prices in July declined 10% from June’s record high of $812,000 for a single-family home, but condo median prices remained unchanged.
Multiple offers are also down, as well as the number of bidding wars, according to the report, relieving some of the pressure on prices.
Confalone says it remains a seller’s market, but it’s starting to show more price adjustments, and inventory is sitting on the market longer.
Supply and demand issues continued, with active single-family home listings down 28% year over year and condo listings falling 19.8%. Month over month, single-family home listings improved 2% while condo listings saw a 5.6% decline.