Massachusetts single-family home sales set another record in May, according to a new Warren Group report.
Limited inventory and fierce competition continued to add upward pressure to prices, the report found, as the demand continued to outpace supply.
The Warren Group’s Massachusetts Sales Report for May found single-family home sales fell 7.3% to 4,788 from 5,165 a year ago.
The median sale price marked an all-time high for single-family home sales, up 12.4% to $590,000, from $525,000 in February 2021.
Tim Warren, CEO of The Warren Group, said median single-family home prices consistently reaching all-time highs is truly indicative of current market conditions.
“The balance between supply and demand has been way out of sync for some time, and this is the manifestation of that imbalance,” he said. “To cope, many buyers are setting their sights on markets farther and farther from major hubs — and even outside of Massachusetts.”
So far this year, 18,371 single-family homes sold in Massachusetts, a 10.1% decrease from a year ago. At the same time, the year-to-date median single-family home price rose 10.4% to $530,000.
Condominiums followed similar trends last month. May condominium sales fell 11.6% to 2,414 from 2,730 a year prior.
The median sale price of a condo in the Bay State increased 7.1% to $525,000, the second month in a row that median condo prices have hovered about $500,000, according to the report.
For the first five months of 2022, 9,516 condos sold in Massachusetts, down 11% from a year ago. The median condominium sale price rose 7.2% from the same time period to $482,500.
“The median condo price has now been above $500,000 for two straight months, and the median price of $525,000 marked a new all-time high for the month of May,” Warren said. “It’s apparent that demand for condos is strong, which may make it difficult for prospective homebuyers who are looking at condos as an alternative to single-family homes.”