New research from real estate data firm ATTOM Data Solutions suggests that home-sellers in Massachusetts are continuing to enjoy substantial returns.

By comparing the median purchase and resale prices for over 150 of America’s biggest metro areas, the company’s data analysts found that Cape Cod residents got the biggest gain in returns of any in the state when they sold last year, compared to the year before. The owner of the median-priced home gained $242,825 compared to how much they paid for they home initially, a 67 percent return on their investment. That gave the metro’s median homeowner a 30.9 percent increase over 2021, the 40th-biggest increase in the nation.

In Greater Worcester, that jump was 15 percent, for a profit of $138,000 and a 59 percent return on investment. In Springfield, the median seller in 2022 raked in $99,000 over their initial purchase price, a 17.9 percent increase over 2021 and a a 52.9 percent return on their investment.

And in the Boston area, the typical homeowner’s profit was predictably the largest statewide, at $195,000, up 8 percent year over year, ATTOM said. That’s a 48.1 percent return on investment.

The S&P CoreLogic Case-Shiller Home Price Index, released Tuesday, showed Greater Boston home values were up 6.9 percent year-over-year in November 2022, the latest month for which the index had been calculated, but down 0.6 percent from October on a seasonally-adjusted basis, which came on the heels of a 0.4 percent decline between September and October.

Nation-wide, ATTOM reported, the median-priced home sold for $112,000 more in 2022 than the buyer paid for it, representing a represented a 51.4 percent return on investment compared to the original purchase price. That’s up from 44.6 percent last year and from 32.8 percent in 2020, the company said, and a high point since at least 2008.

“It seems pretty likely that home seller profits peaked for this cycle in 2022,” Rick Sharga, executive vice president of market intelligence at ATTOM, said in a statement. “Median prices have declined on a monthly basis since mortgage rates doubled between January and October and are likely to decline further in many markets across the country in 2023, reducing profitability for home sellers.”

MA Homeowners Enjoying Double-Digit Profits

by James Sanna time to read: 1 min
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