Experts report declining supply and steady demand

By Chris Shott
THE ERICKSON TRIBUNE

Despite a decrease in sales volume, prices of single-family homes in Massachusetts increased in May and available inventory has significantly diminished from 2006, according to a monthly report issued by the Massachusetts Association of Realtors (MAR).

The MAR reported a drop of 7.5% in sales of single-family homes from May 2006, but an increase of 0.7% in the median selling price of single-family homes in the same time span. More importantly, residential supply levels decreased in May for the fifth straight month and long-term prospects are promising.

Steady demand
“While tighter lending standards and reduced mortgage options for some prospective buyers this year may have had an impact on the market, stable prices and declining supply indicate there is still a steady demand,” MAR President Doug Azarian was reported as saying. “We can speculate that demand will continue to go up during the second half of the year.”

A total of 3,884 detached single-family homes were sold in Massachusetts in May, less than the 4,200 homes sold in May 2006, but a 16.7% increase from the 3,328 homes sold in the state in April of this year.

The median selling price of a single-family home in Massachusetts in May was $355,000, up from $352,700 in May 2006.

Positive real estate news makes Linden Ponds an even more attractive option for people contemplating moving there, according to Retirement Counselor Marisa Kelley.

“Any time is a good time to move to Linden Ponds and take advantage of its maintenance- free lifestyle,” Kelley says. “Our apartment homes offer unmatched value and our community has unparalleled social opportunities for the people who live here.”

Kelley’s sentiments are echoed by Nancy Armstrong, who moved to Linden Ponds earlier this year with her husband Dick. “We came here from New Hampshire and we love it,” Nancy Armstrong says.