Maine Real Estate > Maine Newsletter

 

Volume 1.12 - The Maine Newsletter - John Herrigel

Mission
“To Educate and Elaborate on this Great State”
Table of Contents
1. Housing Statistics
2. Commentary: Stabilizing Conditions
3. Case Study:   2006 Year End Analysis
4. “From Away”: Controversial Property Tax proposal
5. Featured…..

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Housing Statistics:
Sold Properties by County - Dec 2006 (Dec 2005):
                       # Sold              Avg. Price      Avg. Days on Market
York                205 (237)         319K (286K)              122 (96)
Cumberland    300 (299)         283K (284K)              95  (88)
Sagadahoc      28   (45)          193K (240K)              103 (98)
Lincoln            30   (37)          326K (323K)              187 (147)
           
Total Housing Inventories and Net Change by County:
                        1/25/07            12/30/06          Net Change
York                  2567                2556                  11
Cumberland     2389                2461                  -72
Sagadahoc         286                   341                  -55
Lincoln              583                   666                   -83

Commentary
Buying activity continued to remain strong through the holiday months and into early 2007.  After multiple months of sharp inventory decline perhaps an equilibrium in the short run has been found.   The ratio of new listings to sold listings was near 1 to 1 for December and price levels are seeing some volatility  month to month, but overall are very similar to where they were 1 year prior.   2007 will see healthy commercial and residential markets, a slower pace of new development and construction and a greater number of foreclosed properties on the market.

Case Study:  2006 Year End Analysis
Inventories levels: A steady increase throughout the year, peaking in August/September, levels incrementally increased on a quarter by quarter analysis.

          1st Qtr to 4th Qtr % Change in Inventories
York     Cum     Sag      Lin
26%      17%      14%      25%

Homes Sold: Following national trends, the pace of homes sold dropped supporting the rise in inventories above.
                          Number Homes Sold
                        York     Cum     Sag      Lin
2005                 3472     4445     447       497
2006                 2885     4020     443       425
% Change        -17%    -10%     -1%      -14%

Average Prices:  Contrary to overall statewide and national statistics, coastal real estate prices continue to creep upward with moderate quarterly volatility due to seasonal buying and waterfront vs. non-waterfront property sales within a given quarter.

Average Price Sold (000's)
                        York     Cum     Sag      Lincoln
1st Qtr              273       291       216       237
2nd Qtr             280       294       231       290
3rd Qtr              285       317       222       266
4th Qtr              311       305       204       308
2006                  287      302       218       275

  Visit www.mymaineproperty.com/maine-housing-statistics.html  for full data sets

“From Away”  - Property Tax Proposal
Listening to Governor John Baldacci speak yesterday at the MEREDA conference in Portland, his sincere desire to find a REAL solution to escalating property taxes is evident.  (Although the majority of his time was spent explaining his radical education proposal). The property tax proposal in its most basic form creates a constitutional amendment that puts a valuation freeze on property tax increases for year round residents only, ultimately shifting the tax burden in local municipalities to 2nd home residents and local businesses.
A few articles on the proposal:
-Figures Don’t Add Up Say Property Tax Freeze Opponents
-Showdown looming over property tax relief
-Baldacci pitches revised plan for freeze on land valuations

Featured….
Maine Company:  CEI – Coastal Enterprises Inc.
With a mission to help create economically and environmentally healthy communities in which all people, especially those with low incomes, can reach their full potential. CEI is a non-profit and private community development corporation founded in 1977 to develop job-creating natural resources and small business ventures in primarily rural regions of Maine.  Visit: www.ceimaine.org

Site to Visit:  www.MainePropertyBlog.com
Being an informative newsletter that is not intended to promote myself directly the site above is my own creation.  I believe it has great value.  A daily to bi-daily blog entry on all aspects of Maine and National real estate.  Statistics, developments, current events and more.  I encourage you to check it out and please let me know what you think.

Restaurant: Sushi Venues in Portland
If you’ve got that craving!
Sapporo – On Commercial Street and my personal favorite with fresh, creative rolls and friendly service.
Fuji – Right in the heart of the Old Port on Exchange Street, great lunch specials and quick service.  Visit: www.fujimaine.com 
BenKay – Recently remodeled and on the east end of Commercial street in the hottest real estate development neighborhood. Visit: www.sushiman.com 

Quotable Quotes:
“I looked along the San Juan Islands and the coast of California, but I couldn’t find the palette of green, granite and dark blue that you can only find in Maine.”  Parker Stevenson

All information contained herein is deemed accurate when facts are stated. All opinions are that of the author.  We apologize for any inaccuracies, offenses or misrepresentations
If you know of any interested party who would like to receive this newsletter, please have them send an email to jherrigel@greentreemaine.com

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Thanks for reading.
Next Issue:  Mid-Late February
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**All housing data has been derived from the Maine IDX MREIS System