Blame it on low inventory.
For the second month in a row, single-family home sales in Massachusetts fell in March, by 3.6 percent, while median prices rose by 8 percent to $285,000, according to the Warren Group.
The same pattern held for condos: Sales down by 2 percent, while prices rose by a more modest 1.5 percent to $261,000, the Warren Group said.
The company’s editorial director made the obvious observation: High demand plus low supply = higher prices. The head-scratcher is trying to figure when more sellers might jump the market. Otherwise, this is now classic economics at work.
File under: Economics 101