2023 Spring Update

MARBLE RUN - that is what the chart below calls to mind. You can almost hear the sound it makes as it drops from level to level, with a much louder “kerplunk” in the number of sales in York County from 2022 to 2023, and a gentler tumble in the number of sales in Sagadahoc. Androscoggin County, home to Maine’s L.A. had an uptick in sales in 2022 compared to 2021, but still saw a dramatic drop in 2023.

For those of us working in real estate, February was an extra crazy month. In Cumberland County, the number of new listings dropped from 296 to 218 February over February. It was not unusual for homes priced in the $300-500k range to receive 10 or more offers. One house in Brunswick straight out of 1976- shag carpet, yellow appliances, and all, received over 40 offers and sold for more than $100k over its list price.

As redundant as it sounds, the low inventory compared to demand, is driving the market in Maine to ever higher prices. One of the most significant factors is the limited new construction and the types of construction. Pay attention as you drive around, and you will soon see that new construction is primarily focused on three types: rental apartment buildings, apartmentstyle condo buildings (often for those 55 years and over), and highend homes over $600k.