A SHIFTING MARKET

A shifting market: from frenzied to balanced. Let’s explore the market shift we saw in 2022 and the more buyer-friendly market we are now experiencing. Even with a shift in the market, prices remained strong through the year.

Average 30 Year Fixed Mortgage Rates By Month

Interest rates took a jump to 5% in April, but in Maine, it wasn’t until we took the leap to 6% that we saw the effect on sales. There is a 45–60 day lag time between under contracts and closings. As the rates went up in August, we started to see the drop in Sales in October. There is a direct correlation between the rise in rates to the number of units trading.

MAINE SINGLE FAMILY HOME SALES BY MONTH (UNITS)

Despite a strong summer performance, the market experienced a decline in unit sales in 2022 compared to the previous year. The upward trend in interest rates negatively impacted sales, as evidenced by a significant decrease in sales during the last quarter of the year. ng the last quarter of the year.

Days On Market

As the intensity of the market is easing, the amount of time a home stays on the market is increasing, although it is still a historically swift market.