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Regionally, the real estate market seems to be softening. For example, there appears to be a slowing down in the real estate indicators tracked at Norfolk Registry of Deeds in September 2021, according to Register William O'Donnell.
In a press statement, O’Donnell said, “In Norfolk County there were 15,436 documents recorded at the Norfolk County Registry of Deeds which is a 10% decrease over last year’s September document volume. The numbers of mortgages recorded dropped from 4,639 to 3,761 representing a 19% decrease County wide from last year’s September numbers.”
Although there were fewer mortgages recorded the total amount of money borrowed for mortgages County wide was well over $3 billon, a 75% increase compared to September 2020. “While some of the mortgages are due to purchases and sales of real estate, other mortgages are due to refinancing existing mortgages. Individuals have different motivations to refinance. Some refinance to reduce their monthly payments, others to take some years off their debt while still others are using the money to pay for home improvements and other capital expenditures” said O’Donnell.
O'Donnell said there has been a strong demand for housing, single family housing particular, coupled with a limited supply of available housing stock and historically low interest rates which could be motivating buyers to do what is necessary to secure housing. The communities of Norfolk County are desirable places to live which drives demand for housing. The number of deeds recorded in Norfolk County increased when September 2020 is compared to September 2021. There was an 8% increase in last months deed numbers with 1,833 deeds recorded compared to last year’s September deed number of 1,697.”
Mass Realtors Also See Slowing
The Massachusetts Association of Realtors (MAR) also reported a cooling market in their statistics for August 2021. MAR said median sale prices continue
to drop, but remain higher than the year’s previous data shows. MAR reports median price for
single-family homes is up 12.2% and 12.4% for condominiums, when compared to August 2020.
MAR data provided the following key indicators for August:
● The median price for single-family homes was $552,000, and condominiums at
$480,000. While median condo price remains the same as last month, single-family
median sales price saw a slight decrease from July 2021, when the median price of
single-family homes was $560,000 and from June 2021, when prices hit an all-time high.
● New listings for single-family homes were down 8.4% and condos listings decreased
14.7% compared to the same period last year.
● Closed sales decreased by 9.7% for single-family homes, compared to July 2020, while
closed sales for condominiums took a slight rise of 1.2%.
Franklin Strong According to Banker & Tradesman
The real esate publication reports that 2020 YTD sales were 211 while 2021. YTD sales totaled 270. Likewise, B&T reports the median price for Franklin sales YTD for 2020 stands at $500k and in 2021 that number went up to $585k.
End of Foreclosure Moratorium
One additional cause for concern in Norfolk County, according to O'Donnell, was foreclosures. A moratorium on foreclosures in place during the pandemic in 2020 was lifted on October 17, 2020. This moratorium was in place due to the COVID-19 pandemic. The Norfolk County Registry of Deeds has been closely watching the foreclosure market. O’Donnell stated, “During September of 2021 there were 7 foreclosure deeds recorded as a result of foreclosure processes taking place in Norfolk County. Additionally, there were 10 Notices to Foreclosure Mortgages, the first step in the foreclosure process, recorded here in Norfolk County. A foreclosure recording is very impactful on those being foreclosed on. September of 2020 there was 1 Notices to Foreclosure Mortgages and 2 foreclosure Deeds. “These numbers remind us that some of our neighbors continue to face financial challenges,” said O’Donnell. “We will continue to monitor these numbers.”
Tips for Those with Mortgage Troubles
For the past several years, the Norfolk County Registry of Deeds has partnered with Quincy Community Action Programs, 617-479-8181 x376, and NeighborWorks Housing Solutions, 508-587-0950 to help anyone facing challenges paying their mortgage. Another option for homeowners is to contact the Massachusetts Attorney General’s Consumer Advocacy and Response Division (CARD) at 617-727-8400.
