Falmouth ME Real Estate Market Prices, Trends and Forecast 2024

Falmouth ME Real Estate Market Prices, Trends and Forecast 2024

Falmouth is the quintessential New England enclave. Set upon Maine's picturesque Atlantic coastline, overlooking Casco Bay and the town's famed mooring field, the community is a blend of tranquility, natural splendor, and upscale living. Its coastal charm and serene environment make it a coveted location for those seeking an escape from city life—Portland is 20 minutes south, Boston is 90 minutes further—but without completely sacrificing modern luxury and convenience. Falmouth's appeal lies in its unique ability to offer a serene oceanside retreat alongside breathtaking bay vistas, making it an ideal setting for relaxation and adventure.

Falmouth Real Estate Market

The Falmouth real estate market is characterized by high demand and premium offerings. The market caters to various high-end preferences and affluent living, from luxurious waterfront estates to charming inland retreats, including country club and rural lifestyles.

The market also features a handful of condo options and an abundance of historic homes, with a sizable inventory of pre-20th-century construction. Prospective buyers who appreciate a variety of architectural choices will enjoy this vibrant market and its numerous lifestyle opportunities.

Current Market Prices and Trends

The Falmouth real estate market is among the most popular for luxury homes in Cumberland County—Maine's priciest—with a median sales price of $542,500. For March 2024, Falmouth's median sales price finished at $1,012,500. Although this represents a drop of 11% from the month prior, which included the five most expensive homes sold in the market this year, it increased 12% from March 2023. Within the county, Falmouth is second only to Cape Elizabeth in median sales price.

Home prices are robust, ending the first quarter of 2024 in a far better position than at the start of 2023.

In terms of inventory, Falmouth listings remain at historically low levels. There were 11 new listings in March, down 27% from last year and 16 active listings as of the end of March 2024, down 6% from last year. The good news is that number represents a slight uptick in available homes since the start of the year, although closed sales were at their lowest level since April 2023.

Eight closed sales occurred in March 2024, representing an 11% drop from March last year. Since the start of 2022, overall sales in Falmouth have trended lower than historical norms, in large part due to a lack of inventory.

Homes in the Falmouth real estate market spent a median of four days on the market—two fewer than in March 2023 and in line with trends over the last four years.

Emerging from what is often a seasonal lull in the market, overall, the area's luxury housing scene remains in demand with a competitive market environment, reflecting Falmouth's continuing desirability.

Falmouth Forecast for 2024

The Falmouth, Maine, luxury real estate market has demonstrated significant strength and resilience despite broader economic uncertainty over the last six months. After a slight drop in performance from an uncharacteristically transaction-heavy February 2024—$1,135,000 median sales price across 14 closed sales—March still showcased an active market with elevated pricing, consistent activity, and fast sales. All positive signs heading into the busier spring and summer markets.

Advice for Buyers

Potential buyers should remain mindful of broader economic indicators, most notably interest rates. The next 30 days might be the best time to buy, thanks to a balance between mortgage rates and home prices and less competition than in May, June, and July. Forecasts are still calling for 3% to 5% increases in home prices, which could materialize if more homes enter the marketplace and lower interest rates prevail over the next 90 days.

Currently, mortgage rates in Maine are at 6.95% for a 30-year fixed-rate loan. For those seeking jumbo loans for homes priced over the FHA limit of $726,200, rates are 7.09% for a similar 30-year fixed-rate loan. Whatever your particular need, shop around for loan packages. Of course, cash buyers need not worry about this step, but if you plan to finance, the right lender is among the most vital decisions you'll make.

Similarly, for those new to the marketplace, Falmouth features several high-end neighborhoods worth exploring before settling on any home purchase, including:

  • Falmouth Foreside: Renowned for its breathtaking waterfront views and vibrant community life, nearly all of the houses in Foreside are less than three-quarters of a mile from the water. Proximity to downtown Portland and an array of outdoor pursuits on and off the water solidify this as Cumberland County's premier neighborhood and the pinnacle of New England's lavish coastal lifestyle.

  • The Woodlands: Two miles inland, The Woodlands is centered around the elegant, family-friendly Woodlands Country Club, among the region's most prestigious golf, lifestyle, and social clubs. The neighborhood's million-dollar estate-level homes are equally impressive, ranging from 3,500 to more than 7,000 square feet and sitting atop verdant, acre-plus lots.

  • Blackstrap: With new construction, historical estates, and plenty of acreage, a trip down Blackstrap Road in West Falmouth is a journey into the best of rural Cumberland County. Adjacent to the 600-acre Blackstrap Hill Preserve, the area is a haven for those seeking a tranquil lifestyle without altogether leaving civilization behind—downtown Portland is less than a 30-minute drive.

Advice for Sellers

Maximizing your listing with competitive pricing and staging showcasing the property's luxury and unique features is critical. Though the Falmouth luxury real estate market remains a vibrant and appealing draw for buyers, if you're selling one of the area's standout homes, from new construction rich with modern features to a historical house true to its heritage, targeting the ideal buyer will ensure a highly lucrative transaction.

Explore Your Luxury Real Estate Options with Trusted Partner

Whether you're seeking more insight into the Falmouth real estate market or looking to position a home for sale, contact Lauren Jones today. Lauren and her team's extensive knowledge and expertise in representing the best in Maine luxury property will ensure yours is a successful and highly lucrative real estate journey.

*Header image courtesy of Lauren Jones

Follow Us on Instagram



Lauren is remarkably devoted, driven, and enthusiastic about every opportunity she gets to help others achieve their goals. Every client has a unique story, and she strives to add to each of those stories in a positive and enduring way.