Advisors Living presents the Residential Market Reports for Q1 2023. This comprehensive study encompasses Southern Maine. The Advisors Living dedicated research team used data that we deem reliable from sources such as MREIS, Inc., MaineListings, MAR, NAR, and public sales records through the Registry of Deeds.
The first quarter has demonstrated that inventory remains low and buyer demand continues to be high. Especially in southern Maine, intensifying during the pandemic as the state continues to draw newcomers that are able to work from home. Meanwhile, large numbers of potential Sellers who currently enjoy historically low interest rates seem to have chosen to remain in their current homes. There were 12.7% fewer single-family homes listed for sale across the state of Maine in Q1 2023 when compared to the same time period in 2022. This shortage of available inventory led to a 9.8% increase in Median Sale Price.
Most of Southern Maine’s communities experienced a decline in units listed and transacted, and an increase in selling prices.
Cumberland and York counties show a 16.7% decline in units listed Q1 2023 over 2022. Consequently, median sales price is up 7.7% and closed sales were down 25.2%. Another indicator of a competitive market for buyers was that homes sold on average for 100.4% of their original asking price.
In the city of Portland, ME, the median sold price of $480,000 remained high in Q1 2023, up 6.5% year over year. Property closings were down 15.2%, far less than the state which was reported at 24.42%.
Additionally, New Listings were down 33% making for a challenging buyer market.
South Portland, ME, the median sales price was down just 1% year over year at $442,500. Also, closed sales we down 23.4% and new listings were down 14%.
Cape Elizabeth, ME, just south of Portland and South Portland, ended Q1 2023 with no change year over year for new listings. The median sales price was down 28.1% to $590,000, however closed sales were up 33.3%.
Scarborough, ME showed the median sale price for Q1 2023 up 8% to $700,000. The closed sales were down 37% and new listings were down 7.6%. The median days on the market was up 83.3% to 11 days, from a median of 6 days in Q1 2022!
In summary, most of the stats for Q1 2023 in Southern Maine are lower than Q1 2022. But, the fundamentals – income, unemployment, interest rates, and the news cycle are positive. Therefore, we remain optimistic moving forward. The 2023 Real Estate climate promises to be dynamic. Our Residential Advisors are experts in their local markets and will help you achieve your Real Estate goals. From the city to the surrounding communities, and from Nantucket to Maine – our team of respected advisors and our leadership team look forward to collaborating and advising on your net transaction.
