The fall market is being heavily affected by rising mortgage rates and elevated home prices, according to the Massachusetts Association of Realtors (MAR) September housing statistics report released Monday. 

MAR’s report found September to be another month of rising prices and declining inventory, which continue to deter both potential homebuyers as well as potential sellers who are not ready to list their homes in the current market conditions. 

MAR says it continues to stress the importance of housing production across the state, “particularly affordable housing, to combat the inventory and affordability crisis facing residents,” as buyers, sellers and realtors continue to navigate the current market.

David McCarthy, 2023 MAR president and Realtor at Keller Williams, says although ongoing variables such as interest rates and inflation continue to affect the market, it’s still a good time for both buyers and sellers to be active. 

“In several areas across the state, we’re seeing an increase in home inspections and subsequent renegotiations, indicating buyers are bringing more negotiating power to the table,” McCarthy said.  

Last month, the median sale price for a single-family home in Massachusetts increased 5.3% from September 2022 to $600,000, while new, single-family home listings decreased by 13.1%.

The median condominium price also increased from last year, up 7.7% to $517,000, while condo listings fell 10.7%.

The report also found that year over year, single-family closed sales fell 28.4% from 2022, while closed condo sales dropped 12.8%.