Buy — Market Data

Massachusetts Real Estate
Market Trends 2026

Live data and analysis for buyers, sellers, and investors across Greater Boston, Worcester, Springfield, and the Commonwealth — sourced from MAR, Redfin, Zillow, and Realtor.com.

Data current as of June 2026  ·  Massachusetts MLS & MAR
Statewide Median Price
$667,628
+0.4% YoY
Boston Median Price
$852K
+1.9% YoY
Avg. Days on Market
27
Statewide (May 2026)
Homes Sold Above Ask
44.5%
−3.0 pts YoY
Active Listings (MA)
20,267
+13.7% YoY
30-Yr Fixed Rate
6.25%
Stabilizing in 2026

Market Snapshot

Massachusetts Housing Market at a Glance

Key indicators across the Commonwealth as of Q2 2026 — based on Massachusetts Association of Realtors (MAR) and Redfin MLS data.

Single-Family Home Prices
$855,000
Greater Boston median — +1.4% YoY

Single-family homes remain the most demanded property type, representing 67% of all transactions. Entry-level homes below $500K now exist in only 3 MA municipalities.

Condominium Prices
$537,000
MA statewide median — +1.5% YoY

Condos offer a more accessible entry point in urban markets. Back Bay, South End, and Cambridge condos are commanding premium prices with waitlists in luxury buildings.

Speed of Sales
26 Days
Boston avg. days on market — competitive

Homes in Boston receive an average of 2 offers and sell in 26 days. Worcester is even faster at 24 days. Correctly priced homes under $1M still see multiple-offer situations.

Inventory Supply
2 Months
Statewide supply — tight but improving

Supply climbed to 2 months statewide (up from 1.9 months in 2025). Boston metro is even tighter at 1.8 months. A balanced market requires 4–6 months — we're still well below that.

Sale-to-List Ratio
100.0%
May 2026 — −0.66 pts YoY

Homes are selling at exactly list price on average — a sign of a balanced but still competitive market. 44.5% of homes sold above asking, while 16.2% had price reductions.

New Construction
+15%
New permits YoY — gradual recovery

Residential permits increased 15% YoY in Q1 2026 — the first meaningful recovery since 2021. However, permits remain 40%+ below peak levels, limiting meaningful inventory relief near-term.

By Location

Market Data by City & Region — Massachusetts 2026

Every market in Massachusetts tells a different story. Here's a side-by-side comparison of key metrics across the state's major markets.

City / Region Median Price YoY Change Avg. Days on Market Price / Sq Ft Market Type Heat
Boston (City) $852,000 +1.9% 26 days $681 Seller's Market Very Hot
Cambridge $1,050,000 +9.8% 18 days $895 Seller's Market Very Hot
Somerville $875,000 +8.4% 21 days $740 Seller's Market Hot
Brookline $1,380,000 +4.2% 24 days $810 Seller's Market Hot
Newton $1,450,000 +3.1% 28 days $785 Seller's Market Warm
Framingham $580,000 +5.1% 30 days $365 Seller's Market Warm
Worcester $450,000 +4.7% 24 days $228 Seller's Market Very Hot*
Lowell $430,000 +3.8% 29 days $218 Balanced Warm
Quincy $680,000 +2.6% 27 days $450 Seller's Market Warm
Waltham $745,000 +3.4% 26 days $490 Seller's Market Warm
Wellesley $2,050,000 +2.8% 35 days $760 Balanced Warm
Springfield $288,000 +2.1% 38 days $145 Balanced Moderate
Cape Cod Region $875,000 +5.2% 45 days $620 Seller's Market Warm

*Worcester ranked #3 nationally on Realtor.com's 2026 hottest markets list with 12.6% projected home sale growth. Sources: Redfin, MAR, GBAR Q2 2026.

Financing

Current Massachusetts Mortgage Rates

Rates have stabilized in 2026 after years of volatility. Here's the current rate environment and what it means for your monthly payment in Massachusetts.

30-Year Fixed
6.25%
Current average — stabilizing
4%8%

Most popular option for first-time buyers. On a $600K home with 10% down, monthly P&I ≈ $3,325.

15-Year Fixed
5.70%
Lower rate, higher monthly payment
4%8%

Ideal for buyers who want to pay off sooner. Saves ~$180K in interest vs 30-year on same loan amount.

FHA 30-Year
6.10%
Best for 580–679 credit scores
4%8%

Requires 3.5% down. Includes monthly MIP. Popular with first-time buyers and lower-credit applicants.

5/1 ARM
5.85%
Fixed 5 yrs, then adjusts annually
4%8%

Lower initial rate, but carries rate risk after year 5. Best for buyers planning to sell or refinance within 5 years.

Rates shown are market averages for qualified borrowers in Massachusetts and may differ based on credit score, loan size, and lender. Always compare at least 3 lenders — a 0.25% difference on a $600K loan saves over $30,000 over 30 years. For a personalized quote, contact a Colonial Realty partner lender.

Supply & Inventory

The Inventory Challenge Defining 2026

Massachusetts has a structural housing shortage that decades of constrained building have created. The Affordable Homes Act (signed 2024) and MBTA Communities Act are providing regulatory relief — but meaningful inventory increases remain 2–3 years away.

Statewide Listings
20,267
+13.7% YoY — improving but historically low
Months of Supply (MA)
2.0 mo
Balanced = 4–6 months. Well below equilibrium, favoring sellers
Boston Metro Supply
1.8 mo
Tightest market in region. 15% decline from Q4 2025
New Listings (May)
6,743
+4.7% YoY — sellers slowly returning
Why is inventory so low? The "lock-in effect" — homeowners who locked in 2.5–3% mortgages in 2020–2021 are reluctant to sell and take on a new loan at 6.25%. This keeps hundreds of thousands of potential listings off the market nationally, and the problem is acute in Massachusetts.

Q1 2026 Transactions by Property Type

  • Single-Family Homes
    67% of all transactions — dominant demand driver
    67%
  • Condominiums
    More affordable entry point in urban markets
    28%
  • Multi-Family Properties
    Rising investor demand for 2–4 family homes
    5%

New Construction Permits Trend

2021 (Peak)19,800 permits
202414,338 permits (−28%)
2026 YTD (+15% YoY recovery)Improving

Market Conditions

Is It a Buyer's or Seller's Market?

Massachusetts is transitioning from an extreme seller's market toward balance — but we're not there yet. Here's what buyers and sellers can realistically expect right now.

Strong Buyer'sBalancedStrong Seller's
Moderate Seller's Market — Shifting to Balance

What Buyers Should Know

  • More listings in 2026 — inventory up 13.7% statewide gives buyers more options than recent years
  • 44.5% of homes sell above ask — you must still be competitive in most price ranges
  • Inspection contingencies are being accepted again in most non-hot zip codes
  • Mortgage rates around 6.25% — higher than 2021 lows, but stable and predictable
  • Pre-approval is essential — sellers require it before accepting any offer
  • Down payment assistance programs available — ask us about MassHousing grants

What Sellers Should Know

  • Homes priced correctly (within 5% of comps) still sell in under 30 days on average
  • Overpriced listings are sitting 45+ days — buyers are more selective in 2026
  • Sale-to-list ratio is 100% — strategic pricing is more important than ever
  • Multiple offers still common in Boston core and Cambridge, but less certain in suburbs
  • More sellers coming to market in 2026 — increased competition from other listings
  • Price growth projected 2–4% through 2026 — no crash expected, but not the 10%+ of 2021

2026 Outlook

Massachusetts Real Estate Forecast

What experts, major platforms, and market data say about where Massachusetts real estate is headed through the end of 2026.

Statewide Price Growth
+2% – +4%

Projected appreciation through end of 2026. Boston and Cambridge at the upper end (4–6%); Western MA slower at 2–3%. No crash scenario — fundamentals too strong.

Mortgage Rate Forecast
6.1% – 6.4%

NAR Chief Economist forecasts 30-year rates averaging 6.1% in 2026, dipping from 6.6% in 2025. Rates below 6% would trigger significant buyer demand surge.

Inventory Improvement
+5% – +10%

Projected inventory growth through year-end. New construction permits up 15% YoY, Affordable Homes Act ADU provisions, and more sellers accepting the new rate reality.

Home Sales Volume
+2% – +14%

NAR projects existing home sales up 11% nationally in 2026. Massachusetts tracking similar trajectory — Q1 2026 sales volume already up 18% vs Q1 2025.

Worcester to Watch: Realtor.com ranks Worcester #3 nationally among the hottest housing markets for 2026, projecting 12.6% home sale growth and 2.4% price appreciation. Buyers priced out of Boston are discovering Worcester's combination of affordability, expanded rail service, urban revitalization, and strong schools.

Interactive Tool

Massachusetts Home Affordability Calculator

See exactly what your budget buys in today's Massachusetts market — based on real 2026 prices and rates.

Your Massachusetts Budget

Adjust sliders — all figures update live based on current MA market data.

Annual Household Income $120,000
$40K$600K
Down Payment % 10%
3%30%
Interest Rate 6.25%
5%9%
Monthly Existing Debts $400
$0$4,000
What You Can Afford in Massachusetts
Max Home Price (28% rule)
Max Home Price (36% rule)
Down Payment Needed
Est. Monthly Payment
Closing Costs (est. 3%)
Total Cash Needed
Your Budget in MA Context
Affordable in
Statewide Median$667,628
Boston Median$852,000
Worcester Median$450,000
Springfield Median$288,000

Common Questions

Massachusetts Market FAQs

Real answers to the questions buyers, sellers, and investors ask most about the Massachusetts housing market in 2026.

First-Time Buyer Guide
Will Massachusetts home prices drop in 2026?
A crash is not expected. Massachusetts has structural housing shortage, strong employment anchored by world-class universities and hospitals, and steady population growth. Experts and platforms including Zillow, Realtor.com, and NAR all project modest appreciation of 2–4% in 2026. The market is normalizing, not collapsing.
Is now a good time to buy in Massachusetts?
For buyers who can qualify and plan to stay 5+ years, now is generally a good time. Inventory is improving, rates have stabilized, and prices are appreciating modestly rather than surging. Waiting for rates to drop risks competing against a larger pool of buyers rushing in if rates fall below 6%. As the industry saying goes: "Marry the house, date the rate."
What's the most affordable city to buy in Massachusetts?
Springfield ($288K median), Holyoke (~$270K), and Brockton (~$420K) offer the most affordability. Worcester at $450K is the best balance of affordability and growth — ranked #3 nationally for hottest housing markets in 2026 by Realtor.com with 12.6% projected home sale growth. These markets also benefit from improved commuter rail access to Boston.
How competitive is the Greater Boston market for buyers?
Still very competitive. Homes in Boston sell in 26 days on average, with 44.5% selling above asking price. Cambridge and Somerville are even more intense. The key competitive tools are: full pre-approval letter, flexible closing timeline, minimal contingencies (but never waive inspection), and a well-researched offer price. Working with an experienced local buyer's agent is essential.
How do Massachusetts property taxes compare nationally?
Massachusetts has an average effective property tax rate of 1.14%, ranking 18th highest nationally. On a $667,628 statewide median home, annual taxes average approximately $7,611. Rates vary significantly by municipality — Boston city proper is lower than most suburbs due to commercial tax base. Always verify the specific tax rate for any property you're considering.
What's the Massachusetts Affordable Homes Act and how does it help?
The Affordable Homes Act, signed by Governor Healey in late 2024, is designed to accelerate housing production through: requiring municipalities to allow accessory dwelling units (ADUs) by right, increasing multifamily zoning capacity near transit (MBTA Communities Act), streamlining permitting, and expanding state housing programs. The long-term impact is positive for inventory but meaningful supply increases are 2–3 years away.

Ready to Make Your Move in Massachusetts?

Our licensed Massachusetts agents have real-time access to MLS data and deep local market knowledge. Whether you're buying, selling, or investing — let's talk strategy.