July 2020 Real Estate Market Report

The number of sales of single-family homes in Maine is down slightly in June but prices remain on the rise. Realtors across the state sold 1,720 homes in June—78 fewer homes than a year ago – a 4.3% decrease compared to June 2019. The Median Sales Price (MSP) for homes sold in June reached $249,000, an increase of 4.15 percent compared to June 2019. The MSP indicates that half of the homes were sold for more and half sold for less.

As Maine navigates COVID-19, the real estate industry has adapted. The June statistics show improvement and indicate that sellers and buyers have adjusted to Maine’s health and safety protocols. The current market activity serves as an important catalyst for overall economic recovery. The housing industry provides employment for not just REALTORS®, but also lenders, appraisers, building inspectors, surveyors, title and closing agents, cleaning and yard maintenance providers, and building contractors. Many buyers make home improvements and upgrades, and their spending creates additional positive economic ripples throughout their communities.

Nationally, sales decreased 9.9 percent in June 2020 compared to June 2019. According to the National Association of Realtors, sales of existing homes across the country eased 9.9 percent, while the National MSP rose 3.5 percent in June to $298,600. Realtors in the regional Northeast reported a sales dip of 27.9 percent comparing June 2020 to June 2019, while the regional MSP increased 3.6 percent to $332,900.

Newcastle Realty has had strong first-half of 2020, despite the pandemic. As of the date of this report, our brokers have closed 79 transaction sides with a total volume of $19,226,065—up slightly from our same Y-T-D numbers in 2019. In comparison, the local Sotheby’s office has booked $12,769,200 from 31 sides, and Drum and Drum Real Estate has sold $8,258,500 with 23 sides. We are pleased to remain the leading real estate firm in our area.

Most of the year-to-date 2020 property sales locally have occurred in Waldoboro (35), Boothbay (37), Wiscasset (42), Jefferson (26), Bristol (32), and Boothbay Harbor (26). Slightly fewer sales have happened so far this year in Dresden (17), Whitefield (20), Damariscotta (16), Newcastle (13), and Edgecomb (18). Towns seeing even fewer sales include Westport Island (9), South Bristol (14), Nobleboro (17), and Alna (9). Just a handful of 2020 sales have occurred in Southport (5), Somerville (6), Bremen (9), and Monhegan Island (1).

There are currently 207 single-family homes for sale in Lincoln County (down from 278 in June), with 39 percent of those priced at or above $500,000. The 608 residential sales that have occurred in the past 365 days represent transactions in the range of under $100,000 (8%), $100,000-$249,999 (44%), $250,000-$499,999 (36%), $500,000-$999,999 (11%), and $1 million-plus (1%). Listing inventory remains low—it is a great time to sell and we are ready to answer your questions about the process.

The current market absorption rates for Lincoln County homes is under one month (under $100,000), 1.8 months ($100,000-$249,999), 4.7 months ($250,000-$499,999), 11.2 months ($500,000-$999,999), and 31.1 months ($1 million and up). This tells us how long it would take for existing inventories to be absorbed into the market at current rates of sales if no new listings were introduced.

Newcastle Realty tracks Lincoln County and statewide sales, along with other important metrics, which keeps our brokers fully informed of current market conditions and emerging trends as they serve buyer and seller client needs. Questions or comments may be directed to Dennis Hilton, President of Newcastle Realty at dennishilton@cheneycompanies.com or 207-380-3435.

  • Sales statistics based on information from the Maine Real Estate Information System, Inc. (d/b/a Maine Listings) for the period 1/1/2020 through 07/22/2020.