Southern Maine Real Estate Report – June 2025

Maine’s Real Estate Market in 2025: Local Strength, National Context

Shay Johnson

Realtor at Locations Real Estate Group

July 27, 2025

The Maine Association of REALTORS® recently released its June 2025 housing report, and the numbers tell a compelling story of continued strength, strategic shifts, and the potential for more balanced market conditions ahead. For anyone considering buying or selling in Maine, especially in sought-after areas like Cumberland County, understanding the current trends is essential.

Statewide Highlights: Sales Rise as Inventory Improves

In June 2025, 1,441 single-family homes were sold in Maine, representing a 10.51% increase compared to June 2024. The median sales price (MSP) climbed to $425,000, up 4.94% year-over-year. This growth is driven by continued buyer demand and a slowly improving inventory, which hit 5,047 homes in June - the first time it’s exceeded 5,000 statewide since October 2020.

Jeff Harris, 2025 President of the Maine Association of REALTORS®, attributes the surge in transactions to “a dynamic of strong buyer demand and trending increases in the number of homes on the market.”

Spotlight on Cumberland County

Cumberland County remains one of Maine’s most active and competitive markets. During the rolling quarter from April through June 2025:

• 838 homes were sold, up 15.11% from the same period in 2024.

• The median sales price rose to $600,000, a 3.45% year-over-year increase.

This robust growth underscores the desirability of communities like Portland, Falmouth, Yarmouth, and Cape Elizabeth, where lifestyle, location, and limited inventory continue to fuel demand.

Maine vs. the National Market: A Unique Position

Maine’s real estate market stands out when viewed alongside national trends:

Prices & Appreciation

• Higher values, lower prices: The typical home value in Maine in Q2 2025 was $414,479, 9.1% higher than the U.S. average. However, the median sales price in Maine ($396,300 in June) was 8.8% lower than the national median of $432,700.

• Nation-leading appreciation: Between 2019 and 2024, Maine saw the largest median home price increase in the country at 78.5%, according to reports by Pro Tool Reviews and Mainebiz.

Inventory & Competition

• Inventory is growing but remains tight. June’s statewide inventory of 5,047 homes is a promising sign, but with just a 3-month supply, the market still favors sellers. A 6-month supply is considered balanced.

• Cumberland and York counties remain particularly competitive, with multiple-offer situations still common, especially in move-in-ready or coastal properties.

Affordability Pressures

• Coastal squeeze: While Maine remains more affordable than neighboring Massachusetts or New Hampshire, coastal regions, particularly vacation hotspots, are increasingly out of reach for many buyers.

• Interest rate impact: Like the rest of the country, higher mortgage rates and rising costs of living are reducing affordability and stretching buyer budgets.

Other Market Drivers

• Tourism and vacation home demand continue to influence pricing in scenic and coastal areas.

• Out-of-state buyers are still a strong force, drawn to Maine’s quality of life, lower density, and natural beauty.

• Climate resilience is emerging as a new factor. Maine is increasingly seen as a haven from the natural disasters affecting other regions.

What’s Next?

While the pace of appreciation may slow compared to the past five years, continued growth is expected. For sellers, current conditions still offer a strong advantage, especially with well-staged, well-priced homes. For buyers, improving inventory may present new opportunities, especially if mortgage rates stabilize.

Final Thoughts

Whether you're buying, selling, downsizing, or investing, navigating today’s market takes more than just timing—it takes expertise. As a seasoned real estate broker with deep knowledge of Maine’s most competitive markets and a proven track record in preparing homes for success with complimentary staging, I’m here to help you make smart, confident decisions. If you’re ready to take the next step in Cumberland County or anywhere in Southern Maine, let’s talk. I’d be honored to guide you home. Ready to make a move?