2021 is off to a great start in Real Estate here in the Valley. The January single-family home sales were strong. Overall, there was an increase in sales of 7.3% over January 2020. Franklin County saw a 33.3% increase, while Hampshire County only saw a 2.6% increase.
The median price overall was up 17.3% year over year. Franklin County up 34.4% from $200,000 to $268,500. Hampshire County up 25.6% from $267,500 to $336,000. Note: The median price reflects the middle range of the homes that sold. It does not mean the price of homes increased by that percentage. Though there has been an increase in value, these numbers also show that higher-priced homes sold.
Low inventory continues to be a factor in the market. At the end of January, there were only 448 single-family homes for sale in all of the Pioneer Valley versus 1168 in 2020, a 61% drop leaving less than a 1-month supply. 63 in Franklin County, whereas in 2020, there were 164 and 120 in Hampshire County, 289 the previous January.
Adding to the low inventory issue is fewer new listing are entering the market. There were 389 new listings in January 2021 in the Pioneer Valley, whereas 436 in 2020. A 10.8% drop. Hampshire County 75 versus 84 in 2020. A 10.7% drop. Franklin County saw a slight increase. 37 in 2021 and 32 in 2020.
DOM- Listing to under agreement overall dropped 34.6% from 73 days to 48 in 2021. FreddieMac reports interest rates at the end of January 2021 at 2.74%, 3.62% in 2020.
Data source: Realtor Association of Pioneer Valley and the Massachusetts Association of Realtors.