by Eric Berman - email@example.com - 781-839-5507
WALTHAM, Mass.– March 13, 2019 – The Massachusetts Association of Realtors® (MAR) reported today that the number of single-family homes and condominiums put under agreement in the month of February rose over 11 and four percent respectively, compared to the same time last year. This marks 12 straight months of year-over-year increases for single-family homes. The median price for single-family homes put under agreement had a seven percent increase to $375,950, while condominiums had a three percent decrease to $349,000 compared to February of 2018.
In response to February’s ‘Hot Topic’ question, many Realtors® reported seeing some listings in the last six months that included “smart home” devices that were controllable via internet-connected devices.
February Pending Sales:
“The demand in February for single-family homes and condominiums continued to be strong,” said 2019 MAR President Anne Meczywor, broker/associate at Roberts & Associates Realty, Inc., in Lenox. “This is only one month, and we’d need to see more to be certain, but an increase in affordable condominiums coming on the market and selling, could be the reason prices are ticking down.”
February Realtor® Market and Price Confidence Indexes:
“Again, we’re still on the positive side of the scale when it comes to confidence,” said Meczywor. “However, our members who responded have enough questions around politics in Washington D.C., fluctuating interest rates, and the ongoing inventory issues that their confidence in the market isn’t where it once was.”
Monthly ‘Hot Topic’ Question:
The February ‘Hot Topic’ question asked Realtors® how frequently, in the last six months, did a listing for sale have “smart home” devices that were controllable via internet-connected devices?
Of those who responded, less than four percent reported that there were ‘smart home’ devices in all of the listings (1%) or in most of the listings (2%) that they saw in the last six months. Most respondents (64%) reported that they were seeing ‘smart home’ devices in some of the listings, and the remaining 32 percent did not come across smart home devices in any listings.
About the Data Sets:
"Since we last asked this question of our members in January 2016, we didn’t see much change in the ‘all’ or ‘most of’ categories, but we have seen almost a 25 percent increase in the ‘some of’ category from 39 percent in 2016 to 64 percent in 2019.” said Meczywor.
The tracking of signed purchase and sales agreements (also called “pending sales”) provide reliable information about where the real estate market is heading in coming months.
A pending sale or a sale “under agreement” happens when the buyer and seller agree on the terms of the sale of a home and have a signed purchase and sale agreement but have yet to close and be recorded as such. MAR is the only organization, which compiles this statewide information from Multiple Listing Services each month.
Monthly pending (or under agreement) data and closed sales data comes from the three Realtor®-affiliated Multiple Listing Services in Massachusetts. They are the Berkshire County Multiple Listing Service, Cape Cod & Islands Association of Realtors® Multiple Listing Service, Inc.; and MLS Property Information Network, Inc. The data is compiled by 10K Research and Marketing, Inc. and updated each month. As a result, previous data may change after the reports have been run.
The Realtor® Index Methodology - The Massachusetts Realtor® Market Confidence Index (RMCI) and Price Confidence Index (RPCI) are based on monthly responses from a random sampling of Massachusetts Association of Realtors® members on the state of the housing market. More specifically, the survey asks members two basic questions pertaining to the real estate business in their market area in Massachusetts.
In addition to these standard questions, the survey each month includes one wildcard question that changes each month and is based on an industry hot topic.
The RMCI is calculated in the following way. Respondents indicate whether conditions are/or are expected to be “strong” (100 points), “moderate” (50 points), and “weak” (0 points). The results are the average score for each question. A score of 50 is the threshold between a “strong” and a “weak” condition. Similarly, the question about home prices over the next year (Realtor® Price Confidence Index) is calculated using five categories: “Rise 0-5%” (75 points), “Rise 5%+” (100 points), “Level” (50 points), “Fall 0-5%” (25 points), and “Fall >5%” (0 points).
About the Massachusetts Association of Realtors®:
Organized in 1924, the Massachusetts Association of Realtors® is a professional trade organization with more than 24,000+ members. The term Realtor® is registered as the exclusive designation of members of the National Association of Realtors® who subscribe to a strict code of ethics and enjoy continuing education programs.
Editors and reporters: Please note that the term Realtor is properly spelled with an initial capital “R”, per the Associated Press Stylebook.