Remember Nostradamus? He was the French astrologer who supposedly could predict the future with uncanny accuracy. Well, here at Maine Source Homes & Realty, we don’t claim to have supernatural powers, but by analyzing data and pairing it with our own expertise and on-the-ground observations, we CAN offer you a pretty decent sense of how the Maine real estate “picture” will look in 2024. And you know what’s sweet? That “picture” offers very good news for home buyers AND sellers. Let’s take a couple of minutes to zero in.
A Sellers’ Market That Just Won’t Quit
Since the pandemic began in March 2020, the Maine real estate market has offered big-time benefits for anyone selling their house in Maine. Two huge, interconnected trends that drove this—and which we predict will continue vigorously throughout 2024—are (1.) Median house prices in Maine have absolutely skyrocketed to a median of $385,000 since the pandemic’s beginning, including an upward leap of 16.36 percent here in Androscoggin County just in the past 12 months, and (2.) Maine now being the #1 most moved-to state in the U.S., according to an end-of-2023 analysis of data and trends. That continues to be great news for home sellers AND buyers, because it means demand for homes-being-sold remains very enthusiastic, but also means the dynamic in-flow of home buyers have found many attractive options throughout central and southern Maine.
Home Buyers Remain Enthusiastic and Engaged
Despite some past jitters concerning interest-rate increases by the Federal Reserve throughout 2022 and 2023, the Maine home-buyers market seems largely to be shrugging it off. In a recent press release citing the most recently available data, Carmen McPhail, 2023 President of the Maine Association of REALTORS®, said, “The market is adjusting to the mortgage interest rate environment, and qualified buyers are motivated to purchase. Every business day during October, 68 families purchased a home in Maine. That’s up nearly two percent over the prior month.” Extrapolating that dynamic over the next 12 months points to the strong probability of a robust Maine real estate market for buyers throughout 2024.
The Bottom Line
While Nostradamus never predicted the Maine real estate market—and no one can with absolute certainty—Maine home buyers and sellers have every right to believe 2024 will be another year of outstanding opportunity. With the Federal Reserve just signaling the probability of interest rates falling in 2024, the Maine real estate market is poised to see a powerful jolt of hopeful, dynamic market activity throughout the coming year.