What Massachusetts Sellers Need to Know About the 2026 Real Estate Market
As we head into 2026, Massachusetts homeowners who are considering selling face a critical question: What should I expect from the market in the year ahead?
The answer is more encouraging than many realize. Despite concerns about affordability and interest rates that dominated headlines in 2025, the data tells a clear story: 2026 is shaping up to be a strong year for Massachusetts sellers who position themselves strategically.
With over 20 years of experience practicing real estate throughout Massachusetts, we’ve navigated every type of market condition across Boston and surrounding communities, the North Shore, the South Shore, Metro West, and Southeastern Massachusetts. Here’s what the data is showing us about 2026—and what it means for you.
Home Prices Will Continue to Rise
Let’s start with the most important number: home prices in Massachusetts have risen 3 percent so far this year, with the median single-family home price in Greater Boston now at $800,000 as of October, a nearly 5 percent rise for the region.
Looking ahead, forecasters predict existing home sales to rise by 6% in 2025 and 11% in 2026, with median home prices continuing to increase modestly, with a projected rise of 3% in 2025 and 4% in 2026.
This isn’t speculation. These projections are based on fundamental market conditions that continue to favor sellers: tight inventory, strong demand, and a resilient Massachusetts economy anchored by biotechnology, healthcare, education, and financial services.
Worcester Leading the Way with 15% Projected Growth
One of the most significant findings for 2026 is regional. Realtor.com researchers expect Worcester to have 15 percent growth in 2026, a figure made up by combining the percentages of existing home sales and median sale price.
Worcester’s emergence as a growth market isn’t surprising to those of us who work these markets daily. The city’s improved rail service, new ballpark, growing restaurant scene, and relative affordability compared to Boston are attracting buyers who previously focused exclusively on higher-priced markets.
This growth extends beyond Worcester. The South Coast Rail extension is boosting interest in the communities it serves, creating opportunities for sellers in areas that were previously considered too far from Boston’s employment centers.
Inventory Remains Tight—Advantage Sellers
Current market data shows conditions that continue to favor sellers. In October 2025, home prices in Massachusetts were up 3.6% compared to last year, with homes selling for a median price of $654,800. The number of homes sold rose 2.8% and there were 5,919 homes sold in October this year.
More importantly, in October 2025, there were 21,496 homes for sale in Massachusetts, up 10.3% year over year, but the average months of supply is 2 months. A balanced market typically requires 5-6 months of supply. At just 2 months, we remain firmly in seller’s market territory.
What does this mean practically? In October 2025, 43.1% of homes in Massachusetts sold above list price, with a 100.2% sale-to-list price ratio. Properties that are priced correctly and marketed professionally are attracting multiple offers and selling at or above asking price.
Mortgage Rates Are Expected to Decline
One of the most significant factors shaping the 2026 market is the direction of mortgage rates. After remaining stubbornly elevated through much of 2025, rates are forecast to come down.
Fannie Mae expects rates to end 2026 around 5.9%, while the Mortgage Bankers Association projects rates will hold at 6.4% through 2026. Most major forecasters agree that the average 30-year fixed mortgage rate will likely settle around 6.3% in 2026.
Why does this matter for sellers? Lower mortgage rates mean more buyers can qualify for financing and afford higher home prices. As rates trend downward from current levels near 6.2%, we expect increased buyer activity throughout 2026.
Dr. Lawrence Yun, Chief Economist for the National Association of Realtors, provides an even more optimistic long-term outlook. In 2026, he predicts that existing home sales will rise an additional 13%, with mortgage rates stabilizing at the lower end of the current 6-7% range through 2025 and 2026 as the Federal Reserve continues gradual cuts.
Regional Market Dynamics: Where the Opportunities Are
Massachusetts isn’t a single market. Conditions vary significantly across our regions, and understanding these differences is critical for sellers.
North Shore: Markets like Newton, Brookline, and the North Shore communities maintain their premium status, with steady appreciation and market stability. The North Shore’s combination of coastal lifestyle, strong school systems, and commuter rail access to Boston continues to attract buyers willing to pay premium prices.
Metro West and Suburban Markets: Suburban markets within commuting distance of Boston will continue to see strong demand as hybrid work arrangements persist, with towns like Lexington, Concord, and Framingham offering excellent opportunities. These markets benefit from buyers seeking more space while maintaining reasonable access to Boston employment centers.
Boston Proper: Within the city, buyers can look to Hyde Park, Roslindale, Dorchester, Mattapan, and parts of East Boston for relative value, which means sellers in these neighborhoods face strong buyer interest.
Southeastern Massachusetts: The South Coast Rail extension is fundamentally changing buyer perceptions of communities that previously seemed too distant from Boston, creating new opportunities for sellers in these markets.
What This Means for Your Sale Strategy
The data paints a clear picture: 2026 offers favorable conditions for Massachusetts sellers who approach the market strategically. Here’s what you need to focus on:
Pricing Strategy Matters More Than Ever
With 43.1% of homes selling above list price, it might be tempting to price aggressively. However, the other side of that data shows that 34.5% of homes had price drops, up from 29.0% of homes in October last year. Properties that are overpriced are sitting longer and requiring reductions.
Our 20 years of experience has taught us that strategic pricing—based on actual comparable sales, current market conditions, and your property’s unique characteristics—is the difference between selling quickly at full price and chasing the market down with price reductions.
Professional Marketing Is Essential
The median days on the market was 25 days in Massachusetts. Properties that sell quickly are professionally marketed with high-quality photography, drone footage when applicable, detailed floor plans, and comprehensive digital marketing that reaches qualified buyers.
Timing Your Listing
With mortgage rates expected to decline gradually through 2026 and buyer activity projected to increase, sellers who list in Q1 and Q2 2026 will capture buyers who have been waiting for rates to improve. The spring market traditionally brings the highest buyer activity, but getting listed early means you’re positioned before competition intensifies.
Understanding Local Market Nuances
Massachusetts isn’t experiencing uniform growth. Worcester’s projected 15% growth is significantly different from Boston’s mature market dynamics, which differ from emerging South Coast markets. Working with agents who deeply understand your specific local market—not just Massachusetts in general—is critical to achieving optimal results.
The Bottom Line for Massachusetts Sellers
The 2026 market presents genuine opportunities:
- Home prices are projected to continue rising 3-4%
- Inventory remains tight at just 2 months of supply
- Mortgage rates are expected to decline to the low 6% range
- Sales volume is forecast to increase by 11-13%
- Regional markets like Worcester are positioned for exceptional growth
- Nearly half of properly priced homes are selling above asking price
But success in 2026 won’t happen by accident. The sellers who achieve the best results will be those who:
- Price their properties strategically based on real market data
- Invest in professional marketing that showcases their property’s strengths
- Work with experienced local agents who understand regional market dynamics
- Time their listings to capture increasing buyer activity
- Prepare their properties to compete in a market where presentation matters
Our Perspective After 20 Years
Having practiced real estate throughout Massachusetts for over two decades, we’ve successfully guided sellers through every type of market condition. We’ve navigated the boom years, the 2008 crash, the pandemic market, and the rate-driven challenges of recent years.
The 2026 market isn’t without its complexities. Affordability remains a challenge for many buyers. Political and economic uncertainty could create volatility. Inventory, while tight, is gradually increasing.
But the fundamental dynamics favor sellers who position themselves correctly: strong demand, limited supply, improving financing conditions, and a resilient Massachusetts economy.
The difference between achieving your goals and leaving money on the table often comes down to expertise—understanding not just Massachusetts markets in general, but your specific neighborhood, current buyer behavior, and how to position your property competitively.
Ready to Discuss Your 2026 Sale?
If you’re considering selling in 2026, now is the time to start planning. Understanding your property’s current value, preparing it for market, and developing a strategic approach takes time.
With our 20 years of experience across Boston and surrounding communities, the North Shore, the South Shore, Metro West, and Southeastern Massachusetts, we can provide you with:
- Accurate, data-driven property valuation
- Market analysis specific to your neighborhood
- Strategic pricing and marketing recommendations
- Insights into current buyer behavior and preferences
- A comprehensive plan for achieving your goals
Contact us today for a no-obligation consultation. We’ll discuss current market conditions in your area, provide a professional assessment of your property’s value, and outline a strategic approach for success in 2026.
The sellers who start planning now will be the ones who achieve the best results when they’re ready to list.
About the John Hollis Group
The John Hollis Group at Amo Realty has been serving Massachusetts homeowners and buyers for over 20 years. Our deep local knowledge spans Boston and surrounding communities, the North Shore, the South Shore, Metro West, and Southeastern Massachusetts. We combine market expertise with strategic marketing and skilled negotiation to deliver exceptional results for our clients. Contact us at johnhollisgroup.com.
