Maine homes sales surge in May, with median price closing gap with US number

Oblique view of house with picket fence.

FILE PHOTO / PETER VAN ALLEN Maine home sales jumped by 7.06% in May.

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Single-family existing homes across Maine were highly sought-after in May.

Realtors reported that 1,180 homes changed hands last month, up 3.96% from a year ago.

The median sales price for those sales increased 7.06% to $398,250 compared to the May 2023 price, according to Maine Listings

“Sellers have become more active in 2024,” said Paul McKee, president of the Maine Association of Realtors and a broker affiliated with Keller Williams Realty in Portland. “For the fourth consecutive month, year-over-year home sales have increased.”

Maine's median sales price of $398,250 is also an all-time high, up from the previous high of $382,000 in April and substantially higher than the $360,000 recorded for all of 2023.

The median sales price for the state is also closing the gap with the national median, which was $424,500 in May and $394,100 for all of 2023.

The 3,896 homes for sale in May were the highest number since August 2022 — 21 months ago — and the second-highest in 32-months, since September 2021.

“With more homes for sale, more transactions are happening,” said McKee. “In limited markets across Maine, buyers may have more options and some flexibility in negotiations.”

But for-sale inventory remains tight in some markets, and sellers continue to experience multiple offer situations, continuing the pressure on pricing, he added.

County gains

For the rolling quarter from March 1 through May 31, Knox County saw the biggest increase in number of units sold at 45.35%. That was followed by:

Waldo County, 34.43%
Androscoggin County, 29.83%
York County, 24.39%
Hancock County, 23.2%.

Aroostook County saw the largest decrease in unit volume sold, at 16.46%. Somerset, Washington also saw a double-digit decline.

Trends in volume were not reflected regionally or nationally, although pricing trends were.

Regional and national trends

Sales in the Northeast were down 4% while the regional price increased 9.2% to $479,200.

The National Association of Realtors announced a national sales dip of 2.1% in May compared to May 2023. Home prices across the country rose 5.7% to $424,500.

Total existing home sales — completed transactions that include single-family homes, town homes, condominiums and co-ops — retreated 0.7% from April to a seasonally adjusted annual rate of 4.11 million in May. Year-over-year, sales waned 2.8%, down from 4.23 million in May 2023.

Among all housing types nationally, the median existing-home price in May was $419,300, the highest price ever recorded and an increase of 5.8% from one year ago, when the median price was $396,500.

The slide in volume comes as the mortgage rate continues to hover around 7%. According to the Federal Home Loan Mortgage Corp., commonly known as Freddie Mac, the 30-year fixed-rate mortgage averaged 6.87% as of June 20. That was down from 6.95% the previous week but up from 6.67% a year ago.