The condo market in Lexington is relatively low volume so a quarterly view is more reasonable in terms of looking at averages and trends. Lexington condos have tended to be primarily luxury developments around town. The Potter Pond community, and Minuteman Village are established developments. This luxury trend continues with the sales of the new luxury condos in Lexington Place in the downtown area. Click here for more details on Lexington Condominiums.
First a review of where we came from. For Lexington, Ma. the market volume peaked in 2002 at 57 sales, and the prices peaked in 2005, at an annual median price of $455,000. Prices had shown approximately a 5% pullback through 2008. In 2009 the condo market showed renewed strength with the Downtown Crossing project completion. Sales were up to 63 units at a record high median price of $470,000. The graph below shows the numbers for the last 10 years. The line is for the median price and the bars for the numbers of homes sold.
There is a seasonal volume effect on the Lexington market with Q1 (Jan, Feb, Mar) and Q2 ( Apr, May, Jun) being market lows. This seasonality should be taken into account when looking at any monthly data. Q3 last year showed the volume peak with new condos entering the market. Q3 2010 again showed good strength, this time likely an effect of the tax incentives for first time home buyers. The graph below shows the Quarterly numbers for the last 4 years.
The line is for the median price and the bars for the numbers of homes
sold.
With mortgage rates at
historic lows we should see continued market price strength as we move through the rest of 2010, although we can expect that the sales volume will drop again due to normal winter slowing. In the near term it is clear that there is still demand for condos, and Lexington continues to be a high value market.
Call Mike at 781-771-7216 for a detailed review of how the market can affect your goals.
