Welcome to 2023! I hope you were able to spend time with friends and family during the holidays.
2022- I describe the 2022 Hingham real estate market as one of two distinct markets- the first half was decidedly favoring sellers. However by June, mortgage interest rates went up precipitously and the market slowed. Buyer's purchasing power was compromised and demand stalled. The rapid growth of the past two years came to an abrupt halt.
The number of homes sold in 2022 is off by 19.4% and total sales volume is off by 12.5%. This is the first time I have seen such a slow down of the Hingham market since I started producing this newsletter over 15 years ago. However, Hingham home values are up still up by 11.1% from a year ago and now the median sale price is $1,250,000. The median price has grown by over 50% during the past 3 years and that rate is unsustainable. A more balanced market is preferred and that is where we are headed.
Inventory- Over the past few years we have had a lack of inventory to meet demand. While our inventory levels are still relatively low, currently there are 100% more homes on the market vs a year ago. That is telling. A balanced market has 4-6 months of inventory on the market. Right now we have less than 1 month's supply but that is expected to improve as we head into the spring market.
Interest Rates- Interest rates have increased over the past 6 months. See the latest rates below, provided by Kevin Byrne of Movement Mortgage. He is my "Go To" person as he is responsive, professional, reliable and offers very competitive mortgage rate options. While rates have increased, if you have a long view of the market, these interest rates are still competitive and there is hope they will go down over the next several months.
2023- Forecasters predict a more balanced market for 2023. If you live locally and are thinking about making a change, let's chat. NOW is a great time to think about selling. Home prices are still high and there is demand from Hingham buyers. We need homes to sell!
A Favorite Local Business- I have also included a new section featuring a local business. This month I have highlighted The Daily Press Juice Bar in Cohasset. They have many healthy food options for those (like me) who may be trying to lighten up their food consumption after the holidays.
As always, if you have any questions about the local real estate market or would like to discuss purchasing or selling a home, I am just a phone call, text or click away.