When is the best time to buy a house in New England?
Massachusetts homebuyers get best deals in December, according to an analysis by ATTOM, a national real estate database company, released on October 7.
During this holiday month, buyers get a -2.6% premium. What about the other New England states? The ATTOM analysis found:
- Connecticut: -3.5% in December
- Rhode Island: -1.6% in October
- New Hampshire: -3.1% in January
- Vermont: 1% in December (there were no negative numbers for this state, so the next best “bargain” is a lower positive percentage)
- Maine: 4.7% in November (there were no negative numbers for this state, so the next best “bargain” is a lower positive percentage)
Analysis of over 33 million single-family home and condo sales over the past eight years is evidence of a continuing vibrant seller market. ATTOM has looked at any calendar day over the past eight years (2013-2020) with at least 10,000 single-family home and condo sales. There were 362 days, including leap year data, that matched this measurement, the four exceptions being January 1, July 4, November 11, and December 25. To calculate the premium or discount paid on a given day, ATTOM compared the median sale price of homes that closed on that day with the median automated valuation model for those same homes at the time of sale. .
Nationally, according to ATTOM, homebuyers can take advantage of the best deals these days:
- December 5 (1.6%)
- December 26 (2%)
- January 6 (2.2%)
- November 9 (2.3 percent)
- December 31 (2.4%)
Compare that with May:
- May 23 and 27 (17.4%)
- May 20 (16.6%)
- May 16 (15.6%)
- May 19 (15.4%)
According to the study, the states with the largest discounts below full market value were:
- Delaware (-7.9% in February)
- Tennessee (-7 percent in January)
- New Jersey (-4.9% in February)
- Maryland (-4.8% in November)
- Ohio (-4.8% in January)
- Michigan (-4.1% in November)
- Hawaii (-4 percent in June)
- Connecticut (-3.5% in December)
- Illinois (-3.1% in February)
- New Hampshire (-3.1% in January)
Regardless of these “cuts,” Barbara Corcoran, a real estate agent best known as a panelist and executive producer on ABC’s “Shark Tank” reality show, finds that “most people are out of the market. “
“It just seems unfair to feel pressured to be a professional investor who drives up prices,” Corcoran said in an interview published by Bloomberg on Oct. 6. “I’ve never seen an increase like” the pandemic-related outbreak in the United States. house prices, she said.
For example, US home prices jumped 19.7% in July, once again posting the biggest jump in more than 30 years, according to a September 28 tally of the S&P CoreLogic Case Index- Shiller of property values. This followed an 18.7% jump in June and was the 14th consecutive month of acceleration in price increases.
“The market has gone completely bonkers with no end in sight,” Corcoran said. “Everything is sold in bidding wars. I just hope the prices cool down a bit because so many people are shut out of the market.
She doesn’t see soaring house prices causing the same kind of financial chaos that a mortgage crisis triggered over a decade ago.
“It’s not the same kind of market. Today’s market is fueled by individual buyers who want a better place to live, ”said Corcoran. “When we had this drop it was fueled by investors, house pinball machines, bad mortgages. It was a false market, with a false bottom, and it fell. We’re not going to have that now.