Wellesley, Massachusetts Market Report for December 31, 2008 - A Look Behind the Numbers

As of December 31, 2008, there were 103 single family listings in Wellesley on the Multiple Listing Service (MLSPin).  Year to date sales figures show a 19.8% decline in sales volume, however average sales prices are up 7.94% compared to 2007. Based on market absorption rates (see below), the market for single family homes in Wellesley should realize significant price pressure from buyers during 2009.  This is further evidenced in the current average list prices for single family homes in Wellesley.  In order for these homes to be sold in the shortest time possible, and in order to remain competitive with similar markets in Weston, for example, home sellers are going to have to lower their prices on these homes in inventory.  If not, we will continue to see increasing market absorption figures for this town.  During December, 10 single family listings were added to our MLSPin, with an average list price of $2,332,900. However, out of the 10 listings taken, only 5 are "new", the others that were added to the MLS were re-listings of expired or previously cancelled homes for sale. 

Based on the number of active single family listings versus the number of sales during the month, there is a market absorption rate of 281 days.   That is to say, based on the volume of sales during the past month, it will take a surprising 9.36 months to sell all of the single family homes currently in inventory and sitting on the Wellesley market.

The average list price for a single family home is $2,058,023.  The lowest price is $199,000 and the highest price is $5,999,000, with the largest concentration of homes (36.9%) priced in the $1,000,000 to $1,999,999 price range.  Of note, the average list price for a single family home in December 2007 was $1,791,038.

The median price is $1,695,000 and the average days on market are 178 days.  This compares to a median list price of $1,399,000 and average days on market of 186 days as of December 31, 2007.

There were 6 properties that went under agreement during the month of December (December 2007- 16 properties).  11 single family homes sold during December, with the average sales price being $1,190,682 and the median was $738,000, with the average days on market being 85 days. Compare this to 11 properties sold during December 2007, with an average and median sales price of $1,301,182 and $880,000, respectively, and the average number of days on market being 89 days.

In December 2008:

7 properties experienced price changes averaging -6.77%

Sales price to original price was 88%

Sales price to (last) adjusted price was 94%