Maine Home Prices Increased 11 Percent in January

PORTLAND, ME (February 21, 2023) – Legacy Properties Sotheby’s International Realty, Maine’s leading luxury property company, with offices in Portland, Kennebunk, Brunswick, Damariscotta, Camden, and Northeast Harbor, announces that Sales of single-family existing homes in Maine continue to be affected by rising mortgage interest rates and a smaller number of available homes for sale. Maine Listings announced a 34.99 percent sales decrease in January 2023, compared to January 2022. The median sales price (MSP) for homes sold in January 2023 reached $325,000, an increase of 11.21 percent over January 2022. The MSP indicates that half of the homes were sold for more and half sold for less.

“In most communities across Maine, buyers need more for-sale housing inventory,” says Carmen McPhail, 2023 President of the Maine Association of REALTORS® and Associate Broker at family-owned United Country Lifestyle Properties of Maine with offices in Lincoln, Bangor and Lubec. “Compared to pre-pandemic January 2020, Maine has just over 2,100 homes for sale statewide—3,700 fewer homes for sale in January 2023.”

According to the National Association of Realtors, sales nationwide declined 36.1 percent comparing January 2023 to January 2022. The MSP for those homes in January 2023 reached $363,100, up 0.7 percent from January 2022. Regionally, sales in the Northeast dipped 35.9 percent in January 2023, while the regional MSP increased 0.3 percent to $383,000.

“The sales numbers for January are impacted by the scarce for-sale inventory, recent upward adjustments to mortgage interest rates, and the end of year holiday season,” added McPhail, “There’s no need to wait until spring to place your home, camp or land parcel on the market; qualified buyers are searching now.”

Below are two charts showing statistics for Maine and its 16 counties. The first chart lists statistics for the month of January 2022 and January 2023 only, statewide. The second chart compares the number of existing, single-family homes sold (units) and volume (MSP) during the rolling three months of November (‘21/’22), December (‘21/’22) and January (‘22/’23).