Maine Market Monthly

June 2022

 Welcome to the introductory edition of The Maine Market Monthly, PropertyVal’s new monthly market summary report. With the fast-changing real estate landscape, we aim to provide accurate and timely assessments of local market trends.

Seasonally Adjusted Median Sale Prices

Local home prices increase by a seasonally adjusted rate of 1.5% from May 2022.

We have conducted a statistical analysis of single-family, condominium, and manufactured home sales in the state of Maine. Utilizing a similar methodology as the National Association of Realtors, we have annualized and seasonally adjusted the data so seasonal variances do not distort the overall picture. (for more information on this methodology see Seasonality in the Housing Market & Methodology: Existing-Home Sales)

  • June’s seasonally adjusted home prices experienced a year-over-year increase of 14.26% from June of 2021

  • There was a seasonally adjusted 1.5% increase from May 2022, which had experienced a slight decrease from April.

  • Since January of 2022, there has been a seasonally adjusted 8.14% increase in median sale prices throughout Maine.

  • This level of increase has become common over the last two years; however, we are starting to see a slowing of the amount of appreciation which most likely corresponds to the rise in interest rates over the last six months.

Seasonally adjusted and actual median sale prices by month for single family, condominium and manufactured home sales in the state of Maine.

Contract Conditions

% of active purchase orders in June that had contracts with Inspection Waivers, Appraisal Gap Waivers, Financing Waivers or Seller Concessions.

Anecdotally, we are hearing from appraisers that the number of appraisal gap waivers, financing contingency waivers, and inspection waivers has been decreasing.

In order to get a better idea of what’s actually happening, we have analyzed a random sample of 10% of our purchase orders for the month of June, which shows:

Contracts with….

Inspection Waivers - 48%

Appraisal Gap Waivers - 18%

Financing Waivers - 4%

Seller Concessions - 16%

Final List Price to Contract Price Ratios

Based on a random sample of 10% of our purchase orders for the month of June, we found that:


List Price v/s Contract Price:

% of Contract Prices Above List Price - 65%

% of Contract Prices Below List Price - 28%

% of Contract Prices Equal to List Price - 6%

Seller Concessions

Seller Concessions Summary

Minimum Seller Concessions……….………………………….. $2,000

Average Seller Concessions………………………………….. $6,638

Maximum Seller Concessions………………………………….. $13,500

In our sample, 16% of the contracts had concessions, with an average of $6638, or 2.70% of the contract price, and a maximum of $13,500, or 6.40% of the contract price.

Interest Rates and Buying Power

30 Year Interest Rates have increased by 2.48% since January.

Understanding buying power as it relates to interest rates is paramount when attempting to determine the impact of interest rates on property values. Since the first week of January 2022, 30-year rates have risen from 3.22% to 5.70%. This has a significant impact on affordability and equates to a 25% decrease in buying power over the last 6 months.



Average Weekly Interest Rates -source: Freddie Mac

Shifts in Loan Purposes

% of orders by loan purpose type

We have seen a significant shift over the last 12 months away from refinances. Purchases and home equity lines have both made large increases in overall loan purpose share.

June 2022

Purchase - 51.1%

Refinance - 25.8%

Home Equity - 18.4%

Other - 4.7%