Real Estate Market Performance — 2019
It has been several years, since the real estate market performance graphs have been posted, so as we enter 2019, everyone will have facts 1 to make informed decisions. This information is presented for educational and informational purposes.
Liberty Commons was built between 1995 to 1997 and Units were rented by the developer until 2002 when sales of individual Units began. These real estate market performance graphs illustrate all real estate transactions, except transactions less than $1,000 and any outliers, such as foreclosures and other similar transactions; and these charts have been revised to omit the aforementioned exceptions. The real estate market performance graphs were consolidated from the official public record source, the Worcester County North Registry of Deeds, by Steve Stearns between April 1, 2002 through January 28, 2019.
There are four types of Units are Liberty Commons Condominium Trust, each is separated into individual charts. There are sixty-six 2-bedroom, 1.5-bath townhouses (no distinction between middle and end Units), which are Unit Type 4. There are forty-four 1-bedroom, 1-bath middle garden-style condominiums, which are Unit Type 1. There are nineteen 1-bedroom, 1-bath end garden-style Units, which are Unit Type 2, some of these Units are handicapped accessible, such as: Unit 18, 23, 39, 102 and 153. There are only three two-bedroom, 1-bath end garden-style condominiums, which are Unit Type 3, all of which are handicap accessible, being Units 71, 73 and 152. Units are as legally defined in the Master Deed. Unfortunately, some sellers or realtors like to misrepresent the Unit Type 1 Units as: 1.5-bedrooms, 2-bedrooms and having a walk-through bedroom, none of this is actually true and this is misrepresentation, misleading and can lead to avoidable problems for the new Unit Owner to deal with. Please do one’s own due diligence.
Unit Type 4 Unit Sales (66 Units)
Unit Type 4 Units were initially offered at $102,150 for tenants during the conversion from rental to condominium. Unit Type 4 Units reached a peak sale price of $206,000 in 2005. In 2017 the maximum sales price was $147,000 and in 2018 the maximum sale price increased to $152,000. The first sale in 2019 was at $179,000, which was $27,000 to $45,000 greater than sales in 2018, however, this specific sale should probably be considered a unique data point rather than the new norm. However, this unique data point, the first Unit Type 4 sale in 2019, could influence other sales as a “comp” for realtors and appraisers to consider and include as appropriate and applicable.
Unit Type 1 Units Sale (44 Units)
Unit Type 1 Units were initially offered at $82,350 for tenants during the conversion from rental to condominium. Unit Type 1 Units reached a peak sales price of $164,000 in 2005. In 2017 the maximum sale price was $125,000 and in 2018 the maximum sales price declined slightly to $120,000 ($5,000 decrease).
Unit Type 2 Units Sales (19 Units)
Unit Type 2 Units were initially offered at $80,100 for tenants during the conversion from rental to condominium. Unit Type 2 Units reached a peak sales price of $161,000 in 2005. In 2017 the maximum sales price was $122,000 and in 2018 the maximum sales price declined slightly to $119,000 ($3,000 decrease).
Unit Type 3 Units Sale (3 Units)
Unit Type 3 Units were initially offered at $93,150 for tenants during the conversion from rental to condominium. Unit Type 3 Units reached a peak sales price of $170,000 in 2006, which was the maximum sales price. The trend for Unit Type 3 Units is difficult to determine because there are so few Units.
The nominal decreases experienced in 2018 with Unit Type 1 and Unit Type 2 Units, may be due to specific unit-driven conditions rather than the local area real estate market. It will be interesting to monitor the overall performance in 2019 to determine the indicators.
There are a lot of factors that determine actual market value, such as: market availability, location, condition of the Unit, upgrades and enhancements of the Unit, maintenance and upkeep of the common area and buildings, the economy, political implications and several other factors. A professional and qualified realtor who has extensive experience in the marketing and sales of condominiums is essential in obtaining the best possible offer to purchase.
Not all realtors are created equal, so everyone should do their own due diligence before choosing a professional and qualified realtor to assist them in determining the current real estate market value based upon the specific Unit being offered for sale and working with them to determine the best offer to consider. The right realtor can add a lot of value to the seller in so many monetary or non-monetary ways. Relevant experience does matter.
1 Fact — a piece of information used as evidence or as part of a report, that can be independently verified.