Home Prices on the Rise in Danvers

The number of single-family homes sold in Danvers in June mirrored a year ago, but home buyers are spending more to live in town than last year, according to single-family home sale figures released by The Warren Group, which is publisher of Banker & Tradesman.

Twenty homes sold in Danvers in June 2014 compared to 21 in June 2013. For the first six months, Danvers had 90 home sales, which is slightly up from 89 in 2013.

The good news for homeowners is that buyers are paying more for homes this year. The median sale price increased nearly 7% to $432,450 in June 2014 compared to a year ago. For the first six months, the median sale price has dumped from $340,000 to $379,250.

Essex County home sales continue to lag behind 2013 numbers. There were 642 single-family homes sold during June this year compared to 651 last year. For the first six months, single-family home sales have dipped by 2.4%. The median sale price increased in June 2014 compared to 2013 ($380,000 from $365,000) and for the first six months ($358,100 compared to $337,000).

In Massachusetts, single-family home sales rose 3.7% in June compared to a year ago. Year-to-date home sales are down 1.8%. The median price increased by 2.8%to $359,900 in June compared with $350,000 in June 2013. For the year, the median sales price was up 4.7%.

“These numbers are a reflection of sales made during the spring market,” said The Warren Group CEO Timothy M. Warren Jr. “Mortgage interest rates are lower than they were last summer and demand remains high as homebuyers seem to be overcoming the problems with low inventory. We could see more gains in sales volume in the big months of July and August.”

Low inventory continues to play a key role in the Massachusetts real estate market.

“Low inventory once again affected the market in June resulting in a lower number of sale and higher prices,” said 2014 Massachusetts Association of REALTORS President Peter Ruffini, regional vice president at Jack Conway & Co., in Norwell. “However, we’re hopeful that the influx of new properties added to the market in June will help prices to start leveling off, giving more people the opportunity to buy.”