Single-family home sales for the month of February hit a 24-year low, according to newly released statistics; however, realtors are counting on an upswing during the spring season.
Home sales dropped 15.7 percent this February from February 2010, marking the lowest February numbers since 1987, according to The Warren Group, publishers of Banker and Tradesman, a real estate publication.
“The local housing market has hit a bump in the road,” said Timothy M. Warren Jr., CEO of The Warren Group. “Because of the severe winter weather that kept home shopping to a minimum, the market has been slow to heat up. To make matters worse, in the second quarter we will be comparing sales to the height of the homebuyer tax credit. We had booming sales last year, so the comparison will be tough to beat.”
The median price for a single-family home also dropped to $255,000 from $270,000 in February 2010 and condo prices dropped 4 percent from $235,000 in February 2010 to $225,000 in February of this year.
Despite the dismal numbers, realtors are optimistic the warmer weather and fear of rising interest rates will drive people to purchase this spring.
“Moving forward, I do see reasons to be optimistic. The employment numbers improved; and from a historical, standpoint this is a positive indicator for our local housing market,” said John Ford, owner of Ford Realty in Beacon Hill. “I’ve noticed that Boston condo-sellers are more willing to reduce their asking prices, which should have a positive effect on the market and … I’ve seen an increase in open houses.”
Feb. 2011 1,746
Feb. 2010 2,072
Feb. 2011 772
Feb. 2010 943
Source: The Warren Group