Attleboro area real estate market grows in popularity as prices reach new highs nationwide | Local News

“Yes, a median sales price of $650,000 was a new all-time high for the month of July, and month after month prices are hitting new records, but the price increases are less than they could be,” said Cassidy Norton, deputy publisher and director of media relations for The Warren Group. “Interest rates are more than double what they were two years ago, and I'm sure prices would be even higher without these changes.”

The increased sales were reflected in more than half of the 10 communities in the Sun Chronicle's circulation area, including Attleboro, North Attleboro, Foxboro, Mansfield, Norfolk, Norton, Plainville, Rehoboth, Seekonk and Wrentham. Sales nationwide had previously been flat or declining for months.

In contrast, local single-family home sales remained largely flat or declined slightly in June compared to the same month in 2023, according to figures from the Warren Group. Seven of the region's 10 communities had a median price of $650,000 or more.

In Attleboro, the region's busiest real estate market, 35 single-family homes were sold in July, compared to just 19 in the same month last year. The average price for one of those homes was $525,000, up just over 6 percent from the same period last year.

In Foxboro, the number of homes sold nearly doubled, from nine last July to 17 this month. It was one of the few communities where prices fell to a still respectable median of $715,000, a 10.6 percent drop from a year ago.

In almost all other cities in the region, sales increased, albeit only slightly, or remained stable year-on-year, accompanied by an increase in the average price.

Sales in Norfolk were essentially flat, with 13 homes sold last month, up from a dozen a year earlier. But it was still the area's most expensive real estate market, with a median home price of $885,000, up nearly 15 percent from a year earlier.

In Wrentham, sales nearly doubled – from seven homes sold to a dozen – with a 6.4% increase to a median price of $520,000. In Plainville, the numbers painted a similar picture: from three homes sold to seven, the median price rose a whopping 33% to $650,000.

In North Attleboro, 20 homes were sold, consistent with last year's numbers, but the average price increased nearly 7% to $592,500.

Seekonk saw a slight increase in sales – from 16 to 19 – and was the city for bargain-hunting home buyers in July, with the median price coming in at $520,000, up just 5% from a year ago.

Norton, on the other hand, was a bit of an outlier. It was one of the few towns where sales actually declined—15 homes sold versus 14—but some of those sales must have been significant; the median price reached $668,000, compared to just $400,000 a year ago, a 6% increase.

Sales in Mansfield also declined slightly (11 homes less than 10), but the price was $695,000, an increase of 8.6%.

Norton of the Warren Group cited mortgage rates as one factor keeping the supply of homes for sale low.

“This is leading to a lack of inventory, which may have dampened price increases somewhat,” he said. “Unfortunately, lack of inventory will continue to be the biggest price driver for the foreseeable future.”

The Massachusetts Association of Realtors was a bit more optimistic in its July sales report. The Foxboro-based organization found that Massachusetts saw a 1.1% increase in closed sales from June to July this year and the median sales price for single-family homes fell 3.1%, the first decline since February.

MAR cited the decline in the median sales price for both single-family homes and condos in July as the reason for “an increase in the housing affordability index for both markets, the first since December 2023 for single-family homes and since February of this year for condos.” However, they agreed with Warren's assessment that sellers remain cautious due to continued available inventory, interest rates and the upcoming back-to-school season.

“This latest data shows that the market is moving in a more positive direction, but limitations on the number of homes available to prospective buyers remain an ongoing challenge,” said Amy Wallick, 2024 president of MAR and a selling agent with Waltham-based Lamacchia Realty. “We hope that with this decline in median sales prices and the change of seasons, more prospective buyers will soon be in a better position to purchase a home.”

High interest rates are weighing on the economy after the Federal Reserve raised them sharply to bring inflation under control. The Associated Press reported Tuesday that Treasury yields were set to ease ahead of Federal Reserve Chairman Jerome Powell's speech on Friday, which is expected to be the highlight of the week for financial markets.

According to CNN, the average interest rate for a 30-year fixed-rate mortgage was 6.94 percent on Tuesday, down from 7.02 percent the previous week. For 15-year fixed-rate mortgages, the rate fell to 6.21 percent.

Sheryle DeGirolamo, broker and owner of Kensington Real Estate Brokerage in Attleboro, says the market is still not “robust.” Still, “everyone is excited that things are looking up,” she said in an interview. While some people have held off for various reasons, “people are getting used to moving forward. Interest rates have gone down, so people have gotten over that.”

Baby boomers, “who have a lot of equity” and want to downsize “and just enjoy life and not mow the lawn,” are interested in smaller homes, and DeGirolamo and investors see multifamily housing as a business opportunity.

She said people who wait for mortgage rates to drop to “some point” will only see prices rise.

“Waiting is not a good idea, you just have to jump in with both feet,” she said.