Since the media has been on a tear this week talking up the national real estate market, I thought I would crunch some numbers this morning and bring an update on the York County, Maine real estate market. At the Keller Williams convention I just attended this week, we looked at stats from 1972 until 2012 and what was plain was that we hit the bottom in 2010 and 2011. 2012 ticked up and we are seeing even more activity in 2013. These, however are national numbers. Let’s really look at the local data.
I looked specifically at the six Maine towns that I do business in; Berwick, North Berwick, South Berwick, Eliot, Kittery and York, ME. The type of market is determined by comparing the sales of last year to the current listings. We determine how many homes sold per month last year to how many homes are currently on the market. This figure is referred to as the “absorption rate”, or how long it would take to sell every home on the market if no new listings came on. The absorption rate is then analyzed to determine what type of market it is- a seller’s market (absorption rate of 1-2 months), an even market (absorption rate of 3-4 months) or a buyer’s market (absorption rate of 5+ months).
Current real estate inventory in most towns in York County, ME is down, but how low? Let’s look!
Berwick, ME Real Estate Update
In the past 12 months, 68 homes in Berwick, ME sold. The current inventory is at 55. (This does not include what is under contract. Berwick, ME saw 5.6 homes sell per month in the last 12 months which means that the absorption rate is 9.6. That is, it would take 9.6 months to exhaust the supply of homes on the market. An absorption rate of 9.6 indicates that it is still a buyer’s market in Berwick.
North Berwick, ME Real Estate Update
40 homes sold in the last 12 months in North Berwick, ME, which is 3.3 homes per month. With 19 homes currently on the market, the absorption rate is 5.75. With the current inventory dwindling, this town looks like it is heading from a buyer’s market to an even market- a great indicator for sellers. Keep in mind that many sellers wait until Spring to list their homes- and an influx of new listings will affect the absorption rate. If you are looking to sell in North Berwick, list your home soon to have the best chance at optimal exposure.
South Berwick, ME Real Estate Update
South Berwick homes are selling at a rate of 4.5 per month- with a total of 54 homes sold in the past 12 months. The current inventory shows 30 homes on the market, indicating an absorption rate of 6.6. This number seems to be dropping which shows that South Berwick, at least for now, is heading into a stable market. Like North Berwick, once the influx of Spring listings hits the market, the likelihood is that the buyers will still have the upper hand in this town.
Eliot, ME Real Estate Update
Eliot has the lowest absorption rate of the six towns I studied. 68 homes sold last year in Eliot, ME- or 5.6 per month. There are currently only 32 homes for sale which puts the absorption rate at 5.7. Eliot is definitely heading toward an even, and then a seller’s market. This is a great time to list your home in Eliot.
Kittery, ME Real Estate Update
9 homes sold each month in Kittery in the last 12 months for a total of 108. 72 homes are currently on the market, indicating a buyer’s market with an absorption rate of 8. That is, it will take 8 months in order to sell every home in Kittery if no new properties are listed.
York, ME Real Estate Update
A whopping 241 homes sold in York in the last 12 months! There are currently 239 listed in the inventory- which is a one year supply of homes in York, ME. These indicators point to a strong buyer’s market, which is likely to get stronger as the Spring inventory hits.
If you’ve ever thought about living in Southern Maine, contact me at www.NicholeFecteau.com as your local Realtor or search for homes at http://Nichole.BestSeacoastHomes.com. Follow me on Facebook by looking up my business page: NicholeFecteauRealtorAtKellerWilliamsCoastalRealty