Home Prices Stabilizing? Maybe Not
By Aglaia Pikounis
U.S. Housing and Urban Development Secretary Shaun Donovan released a statement last week touting the fact that sales of existing and newly built homes increased last month.
“This week we have seen some encouraging news on housing. Sales of both new and existing homes rose in February for the first time in more than six months while home prices are starting to stabilize,” Donovan’s statement began.
People around here aren’t breaking out the champagne yet.
Most parts of the Bay State are hurting when it comes to the housing market, and home prices don’t seem to be stabilizing, as Donovan says.
But some parts of the state are hurting less than others.
As was recently reported, the median single-family home price statewide has fallen 20 percent in the first two months of the year.
Central Massachusetts appears to have suffered even bigger drops, with the median home price sinking 25 percent to $180,000.
But prices haven’t fallen as steeply in communities within Route 128.
The median price in that region, which includes communities like Belmont, Hingham, Milton and Lexington, is down 14 percent. Nothing to celebrate about – but definitely better than a 25 percent drop!