Somerville Market Summary 2010 – 2011

Highlights of 2011:  It is most encouraging in completing this analysis to find that in 2011 the Median Sale Price for Somerville Condo and Single Family properties surpassed the previous 10-year peak from 1999-2010.

Housing Stock:  6% fewer Condominiums and 15% fewer Single Family homes sold in 2011 compared to the previous year; perhaps the best example of limited supply helping to bolster Median Sale Prices and Average Sale Prices by 3% – 5 %.  Not to be left out, Multi-Family property sale prices held steady with a 2% increase in Average Sale Price and 1% increase in Median Sale Price compared to 2010.

Days On Market:  Most intriguing is the average days on market increased 6 days for Condo, 29 days for Single Family and 9 days for Multi-Family properties in 2011 compared to the previous year.  Typically when days on market increases we would expect to see a decrease in average sale prices.  Perhaps this is a true reflection of the careful consideration of every home buyer to determine fair market value and affordability.

A Look Back:  Somerville Market 2009 - 2010

The Somerville residential market strengthened in 2010 with Average Sale Price increases for all properties from 2 – 13% compared to 2009.  The Median Sale Price increased for Single and Multi-Family properties 6 – 9% while Condominium Median Sale Price in Somerville decreased slightly by 1%.

Median Sale Price vs. Average Sale Price

Mortgage Lenders and Underwristers use Median Sale Price to ascertain market strength or weakness (by zip code, city, town etc.).  If a local market is determined to be a “declining market”; this means it poses higher risk to the Lender, this risk is then passed to borrowers in mortgage financing rates, terms and conditions.

Residential Market Analysis©

My custom Residential Market Analysis© provides an 11-year trend analysis for residential home sales since 1999 for  Condominium, Single Family and Multi-Family properties.  This report is available to Clients for Cambridge and Somerville as well as surrouding towns to gain in-depth understanding of local housing trends.

To obtain a clear and accurate assessment of any real estate market, bear in mind data alone is meaningless unless compared with the same statistcal analysis for previous time frames to gain useful trend information.  Work with a highly-qualified reputable professional who is representing your best interests to ensure you receive all relative market data.

Need more information?  Call me today at 617.245.4072 to schedule an appointment to receive a fair market analysis for a specific property.