The frenzy of home buying in Maine may have cooled off but prices have not

Renee Cordes In Cumberland County, including Portland (pictured here), the median sales price for the three months ended May 31 was $536,000, up from $510,000 a year earlier.

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By Peter Van Allen

Buyers seeking to purchase single-family existing homes in Maine continue to encounter fewer properties for sale.

According to Maine Listings, prices for those homes sold increased 6.57% in May 2023 compared to May 2022.

The median sales price hit an all-time high of $373,000, compared to $350,000 a year ago and $367,500 in April. The MSP indicates that half of the homes were sold for more and half sold for less.

The number of homes sold cooled, with 1,134 in May, down 20.08% from May 2022.

“The real estate market in Maine experienced a slow start in 2023, primarily due to a shortage of homes for sale. The first five months showed a 25% decrease in the number of sales over the same period in 2022,” said Carmen McPhail, president of the Maine Association of Realtors and associate broker at United Country Lifestyle Properties of Maine with offices in Lincoln, Bangor and Lubec.

She added that May "brought a glimmer of hope," with a 43% increase in the number of homes sold compared to the previous month.

“On average, over 100 households bought or sold homes in Maine each business day in May,” said McPhail.

Other data

The National Association of Realtors reported a 20% decline in sales nationwide in May 2023 compared to May 2022, and the national MSP eased 3.4% to $401,100.

Regionally, Realtors in the Northeast reported a 2.5% rise in the MSP to $439,000, while sales declined 25.4% in May compared to a year ago.

“Sellers and buyers have adjusted their strategies to accommodate the current conditions, with sellers waiting to list until their next move is secured and buyers reacting swiftly when suitable properties become available,” added McPhail.

In Cumberland County, including Portland, the median sales price for the three months ended May 31 was $536,000, up from $510,000 a year earlier.