February Single Family Home Sales and Market Update For Wellesley, MA

As of February 28, 2009, there were 142 single family listings in Wellesley on the Multiple Listing Service (MLSPin). With spring hardly upon us, there has been a 33% addition to the single family home inventory during the past month. Unfortunately, the market statistics, including sales, listings under agreement and market absorption are all tell-tale signs that now is not a great time to list your home for sale in Wellesley (however it is a great time to buy.) "Small is the new black" as the Boston Globe was quoted recently. Wellesley's excess inventory, combined with comparable properties in South Natick, Weston, and Dover and Weston will prove a challenge for months to come as homebuyers look for affordable living and newer construction. During February, 42 new single family listings were added to our MLSPin and six additional single family homes were relisted for sale on the MLS, with an average list price of $1,636,978.

Based on the number of active single family listings versus the number of sales during the month, there is a market absorption rate of 1,080 days. That is to say, based on the volume of sales during the past month, it will take approximately 3 years to sell all of the single family homes currently in inventory and sitting on the Wellesley market. These market absorption rates, of course, are skewed because of the low volume of home sales and properties put under agreement during the winter months, however one should not stray too far from watching market absorption rates because they are a very good indicator of future economic trends in real estate.

The average list price for a single family home is $1,944,472. The lowest price is $199,000 and the highest price is $5,995,000, with the largest concentration of homes (37.3%) priced in the $1,000,000 to $1,999,999 price range. Of note, the average list price for a single family home in February 2008 was $1,728,278.

The median price is $1,595,000 and the average days on market are 147 days. This compares to a median list price of $1,452,000 and average days on market of 131 days as of February 29, 2008.

There were 11 properties that went under agreement during the month of February (February 2008- 21 properties). Four single family homes sold during the month, with the average sales price being $1,433,750 and the median was $1,055,000, with the average days on market being 120 days. Compare this to 11 properties sold during February 2008, with an average and median sales price of $1,416,056 and $1,165,000, respectively, and the average number of days on market being 210 days.

During February 2009:

26 properties experienced price changes averaging -5.58%

Sales price to original price was 91%

Sales price to (last) adjusted price was 94%

5 property listings expired with an average days on market of 107 days