MA Multi-Family MLS DATA - YTD June 2022

[Jonathan Bombaci]

Monthly data through June 2022 for MA in total shows a very strong cyclical market. The big story here is the very, apparent, and continual, lack of inventory in the multi-family marketplace. We saw inventory tick up a little bit in going into Q4 last year, then decline rapidly. Last year we had a VERY STRONG sellers market and with inventory levels running even lower this year it is setting us up for an even stronger sellers market going into the spring market. Looking at the sold vs list price chart we can see on listings are now selling +2% over asking price on average. We are still seeing less, but still some strong bidding wars on the best properties and market appears to be ramping up into the busier summer and fall markets. Interest rates have moved up quite a bit since January and we are feeling its impacts of less buyers being in the marketplace at our open houses and have been receiving less offers. We've been seeing more price decreases on MLS but if a property is priced right it will still move very quickly. We have experienced some of our buyers getting priced out of the greater Boston market due to the higher interest rates, however "starter home" and small multi-family markets are still going very strong due to the pent-up buyer demand, lack of inventory, and increasing rents.

We are keeping an eye on the multi-family inventory in MA very closely and also monitoring the average sale price vs list price so we can provide better guidance to our clients. If we see a sharp increase in inventory this will be a good forward looking indicator that prices may start to soften. Average multi-family listings continue to be at an ALL TIME HIGH. However, based on what we see in the low listing numbers and the very low inventory currently on the market we do not see any indicators in the data to suggest the market will be changing in a significant way anytime soon.

*This is MULTI-FAMILY specific data pulled directly from the MA MLS, this data does not include any Single Family, Condo, or Commercial properties. It also does not include any properties sold off-market or anything that was not physically listed on MLS as a "Multi-Family".