Market Update - 2023.03

MAINE HOME VALUES UP 3.85 PERCENT IN MARCH; SALES EASE DUE TO INVENTORY ISSUES

AUGUSTA (April 20, 2023)—Interest rates and lower-than-normal inventory led to a single-family existing home sales decline of 16.78 percent in March. According to Maine Listings, 858 homes changed hands last month, compared to 1,031 homes in March 2022. The median sales price for homes sold rose 3.85 percent to $337,500 comparing March 2023 to March 2022. The MSP indicates that half of the homes were sold for more and half sold for less. 

“As spring arrives, potential buyers are adjusting to the increased mortgage interest rates and returning to actively searching for their next home,” says Carmen McPhail, 2023 President of the Maine Association of REALTORS® and Associate Broker at family-owned United Country Lifestyle Properties of Maine with offices in Lincoln, Bangor and Lubec. “However, the low inventory of forsale homes continues to be a challenge. 

“The tight for-sale inventory, while bolstering sales prices overall, has contributed to the rate of statewide price growth slowing. In some counties, median sales prices have declined during the first quarter,” adds McPhail. 

The National Association of Realtors reported a home sales decline nationwide of 21.1 percent in March 2023 compared to March 2022. Prices also eased 1.4 percent to a national MSP of $380,000. Regionally, home prices in the Northeast rose 1.0 percent to $395,400, while sales dipped 21.2 percent comparing March 2023 to March 2022. 

“To navigate the challenging market, sellers and buyers should partner with a Realtor for expert counsel. Now is a terrific time to list your property for sale. Buyers are searching for and finding new property options every day and purchasing the right home for their needs,” says McPhail. 

Below are two charts showing statistics for Maine and its 16 counties. The first chart lists statistics for the month of March 2022 and 2023 only, statewide. The second chart compares the number of existing, single-family homes sold (units) and volume (MSP) during the rolling three months of January, February and March of 2022 and 2023.

Maine Real Estate Statistics – March 2023 Housing Report 4/20/2023

Source: Maine Real Estate Information System, Inc. (d/b/a Maine Listings). Note: Maine Listings, a subsidiary of the Maine Association of REALTORS®, is a statewide Multiple Listing Service with over 6,200 licensees inputting active and sold property listing data. Statistics reflect properties reported as sold in the system within the time periods indicated. Contacts: Maine Association of REALTORS® President Carmen McPhail (United Country Lifestyle Properties of Maine, Lincoln) – 207-290-0371 carmen@lifestylepropertiesme.com or Maine Association of REALTORS® President Elect Paul McKee (Keller Williams Realty, Portland) – 207-831-3929 pmckee@kw.com For additional contacts: suzanne@mainerealtors.com