Shown below are a series of charts summarizing the latest single family home sales for Longmeadow, Massachusetts. These latest results from January - May 2012 include both MLS and FSBO transactions and are based upon public information obtained from the Hampden County Registrar of Deeds website.
A quick review of home sales for the first five months of 2012 shows that home sales were slightly higher (55) vs. the corresponding period in 2011 (54) and slightly lower (-6%) vs. the 7 year average (see figure 1 below).
However, a more thorough examination of the recent data shows troubling trends…
- Median prices showed a steep decline in the Jan -
May 2012 period from corresponding results in 2011. The
median sales price (6 month trailing average) in May 2012 was
compared to $302,500
one year ago (19% lower)
and $315,000 for
all of 2011. This latest median sales price was
30% lower than the
peak reached in September 2007 ($350,000)
and the lowest level reached in the past 7 years. See
figures 2 and 3 below for details.
- ~75% of the homes sold (41 out of 55) were at prices
below the official assessment value- see figure 4
below. For the past 3 years a large percentage of homes (~50%)
were sold at prices below the official assessment value. The
latest data shows a significant increase in this result (~75%).
- The latest data also show some distress sales with 6
transactions involving bank ownership (foreclosure/ short sales)
and a number of estate related sales. One foreclosure
sale on Ardsley Road was priced at almost $300K below the
official assessment value. 10 properties (out of 55) were sold
at prices more than $100K below the official assessment value.
- For the January - May 2012 period there were only
two homes sales at prices of $500K or higher.
Longmeadow property taxes continue to increase at a rapid pace.
FY2012 property taxes increased an average of +5.4% from FY2011 and FY2013 property taxes are projected to increase another 5.8% over FY2012. A large portion of these tax increases is due to the building of the new Longmeadow High School. The combination of a poor economy/ jobs picture and the potential need for additional infrastructure improvements (new DPW facility, roads/sewer repair, renovation of the two middle schools, etc.) looming in the future is likely having a dampening effect on Longmeadow home sales.
Selling a home in the current environment continues to be very difficult. Hopefully, the latest home sales data is pointing to a bottoming process for Longmeadow real estate and the road ahead will be brighter.
|Figure 1- Longmeadow Monthly Home Sales[click chart to enlarge]|
|Figure 2- Median Sales Prices|
|Figure 3- Annual Median Sales Prices|
|Figure 4- Home Sales Price vs. Assessment Value|
Here is a link to the data for 2006-2012 Real Estate Transactions that were used to develop the above graphs.
LongmeadowBiz.com- Longmeadow's #1 Business and Community website
LongmeadowMA.org- Longmeadow's Newest Website