June 2022 Market Update
As for-sale inventory remains a limiting factor, home values continue to climb. Statistics shared by Maine Listings show the statewide median sales price (MSP) reached $350,000 in May 2022, an increase of 14.75 percent over May of last year. The MSP indicates that half of the homes were sold for more and half sold for less. Sales eased 11.97 percent statewide, comparing May 2022 to May 2021.
Though still historically low, the Maine real estate market has recently experienced slight gains in the number of homes for sale due in part to the typical selling-season increase. Home buying demand has also been impacted by growing mortgage interest rates and home price appreciation.
The National Association of Realtors reported a sales decline of 7.7 percent nationally in May 2022 compared to May 2021, while the MSP increased 14.6 percent to $414,200. Regionally, sales in the Northeast decreased 9.3 percent with an increase of 6.7 percent in prices, reaching a regional MSP of $409,700.
Our company continues to excel with a full staff of exceptional local agents. We are excited to remain a leading real estate firm in the Damariscotta area as we serve buyers and sellers. As of the date of this report, our brokers have closed 70 transaction sides with a total volume of $26,972,300 —up 19% over our Y-T-D numbers in 2021—and we are pleased to report that one-third of our sales volume has come through our new Boothbay Harbor branch office. In comparison, Drum and Drum Real Estate has sold $6,821,525 with 20 sides, and Sotheby’s has sold $28,190,000 with 36 sides.
Most of the year-to-date 2022 property sales locally have occurred in Waldoboro (39), Jefferson (32), Boothbay Harbor (27), Wiscasset (27), Damariscotta (26), Boothbay (30), and Bristol (32). Slightly fewer sales have happened so far in Dresden (14), Edgecomb (19), Newcastle (12), Nobleboro (15), Westport Island (14), Whitefield (18), and Southport (13). Towns seeing even fewer sales include South Bristol (7), Bremen (6), Alna (5), Somerville (3), and Monhegan Island (0).
There are currently 120 single-family homes for sale in Lincoln County (up from 96 in May), with 49 percent of those priced at or above $500,000. The 685 residential sales that have occurred in the last 365 days represent transactions in the range of under $100,000 (4%), $100,000-$249,999 (24%), $250,000-$499,999 (46%), $500,000-$999,999 (20%), and $1 million-plus (7%). Listing inventory remains super low—it is a great time to sell and our brokers are ready to answer your questions about the process.
The current market absorption rates for Lincoln County homes are 0.5 months (under $100,000), 0.8 months ($100,000-$249,999), 1.6 months ($250,000-$499,999), 3.8 months ($500,000-$999,999), and 4.2 months ($1 million and up). This tells us how long it would take for existing inventories to be absorbed into the market at current rates of sales if no new listings were introduced.
Newcastle Realty tracks Lincoln County and statewide sales, along with other important metrics, which keeps our brokers fully informed of current market conditions and emerging trends as they serve buyer and seller client needs. Questions or comments may be directed to Dennis Hilton, President of Newcastle Realty at email@example.com or 207-380-3435.