Another Record-Breaking Year for Home Sale Prices

Single and Multi-Family homes were clear winners in the jaw-dropping bidding wars for homes in Arlington, Belmont, Cambridge, Medford, and Somerville, MA in 2021.

In Arlington and Belmont, median sale prices increased for all predominant property types being Condominium, Single Family, and Multi-Family homes.  In Cambridge, Somerville, and Medford the Condominium and Single Family sale prices also increased.

The 2021 Average Sale Prices and Median Sale Prices for residential Condominiums, Single Family, and Multi-Family homes sold in Arlington, Belmont, Cambridge, Somerville, and Medford, MA are provided below.

Arlington MA Home Sale Prices 2021

Highlights:

  • Condo Median Sale Price increased $35,000 to $695,000
  • Single Family Median Sale Price increased $70,000 to $950,000
  • Multi-Family Median Sale Price increased $119,982 to $1,200,000

Home sale prices for residential Condominium, Single Family, and Multi-Family homes sold in Arlington, Massachusetts in 2021 including the percentage change from 2020.

ARLINGTONAverage Sale $% ChangeMedian Sale $% Change
Condominium$708,904+ 4 %$695,000+ 5 %
Single Family$1,069,072+ 13 %$950,000+ 9 %
Multi-Family$1,168,580+ 4 %$1,200,000+ 11 %

Belmont MA Home Sale Prices 2021

Highlights:

  • Condo Median Sale Price increased $54,750 to $740,000
  • Single Family Median Sale Price increased $180,000 to $1,430,000
  • Multi-Family Median Sale Price increased $155,500 to $1,205,000

Home sale prices for residential Condominium, Single Family, and Multi-Family homes sold in Belmont, Massachusetts in 2021 including the percentage change from 2020.

BELMONTAverage Sale $% ChangeMedian Sale $% Change
Condominium$797,552+ 5 %$740,000+ 8 %
Single Family$1,512,612+ 9 %$1,430, 000+ 14 %
Multi-Family$1,181,120+ 13 %$1,205,000+ 15 %

Cambridge MA Home Sale Prices 2021

Highlights:

  • Condo Median Sale Price increased $5,000 to $825,000
  • Single Family Median Sale Price increased $119,000 to $1,800,000
  • Multi-Family Median Sale Price decreased $23,500 to $1,717,500; but the average sales price increased 7%.

Home sale prices for residential Condominium, Single Family, and Multi-Family homes sold in Cambridge, Massachusetts in 2021 including the percentage change from 2020.

CAMBRIDGEAverage Sale $% ChangeMedian Sale $% Change
Condominium$987,707- 1 %$825,000+ 1 %
Single Family$2,124,383- 3 %$1,800,000+ 7 %
Multi-Family$2,115,204+ 7 %$1,717,500- 1 %

Somerville MA Home Sale Prices 2021

Highlights:

  • Condo Median Sale Price increased $5,000 to $785,000
  • Single Family Median Sale Price increased $47,500 to $967,500
  • Multi-Family Median Sale Price decreased $15,000 to $1,200,000; and the average sale price decreased 4%.

Home sale prices for residential Condominium, Single Family, and Multi-Family homes sold in Somerville, Massachusetts in 2021 including the percentage change from 2020.

SOMERVILLEAverage Sale $% ChangeMedian Sale $% Change
Condominium$849,470+ 4 %$785,000+ 1 %
Single Family$1,082,201+ 8 %$967,500+ 5 %
Multi-Family$1,357,104- 4 %$1,200,000- 1 %

Medford MA Home Sale Prices 2021

Highlights:

  • Condo Median Sale Price increased $41,000 to $610,000
  • Single Family Median Sale Price increased $80,000 to $750,000
  • Multi-Family Median Sale Price decreased $8,250 to $880,000; but the average sale price increased 4%.

Home sale prices for residential Condominium, Single Family, and Multi-Family homes sold in Medford, Massachusetts in 2021 including the percentage change from 2020.

MEDFORDAverage Sale $% ChangeMedian Sale $% Change
Condominium$631,401+ 5 %$610,000+ 7 %
Single Family$771,635+ 9 %$750,000+ 12 %
Multi-Family$944,479+ 4 %$880,000- 1 %

Data Source:  MLS Pinergy® as of 2-9-2022
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Did Home Sale Prices Fall in 2021?

The only decreases in median sale prices were those for Multi-Family homes located Cambridge, Somerville, and Medford but the amount was only 1%. In Cambridge and Medford the average sale prices also increased.

The sector to watch closely is Multi-Family homes in Somerville which resulted in a decrease for both the average sale price and median sale price in 2021.  Several factors could have contributed to this result and I am watching this closely to try to pinpoint the reason(s).

Why Is Median Sale Price Important?

Which sale price matters most to you?  If you are financing your new home; your mortgage lender pays very close attention to the Median Sale Price and uses that as a factor for setting mortgage loan terms.

For example, if the lender (underwriter) sees that median sale prices have increased in a given zip code, it is the sign of a strong appreciating housing market and the lender will likely give more favorable terms.

On the contrary, if the lender sees median sale prices are decreasing in a given zip code; that is a signal of a weakening housing market and a perceived higher risk for the lender which could result in less favorable loan terms for the borrower.

When Will Home Sale Prices Stop Rising?

As home buyers searched for more living space to accommodate working from home and remote learning for children in school; it is no surprise that properties with larger living space continued to sell for higher prices.

Will home sale prices keep rising in 2022?  That remains to be seen especially with new market forces impacting home buyer spending power such as the increasing mortgage interest rates.

There is only one thing we know for sure.  If home buyer demand continues to outpace available inventory, then we likely will see home sale prices continue to rise especially for homes that offer more living space.

City & Town Information Online

The official city and town websites for Arlington, Belmont, Cambridge, Medford, and Somerville MA:

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Tamela Roche

Contact Tamela to schedule a Home Seller Consultation or Home Buyer Consultation to prepare for the sale of your current home or to purchase a new home in Arlington, Belmont, Cambridge, Medford, or Somerville MA.

As a Client you will also receive my Residential Market Analysis with comprehensive market data and historical home sale trends to help you make decisions with confidence and peace of mind.

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