Needham MA Real Estate Market Data 2026
Key Takeaways:
Needham's median home price of $1,175,000 positions it among the top-tier western suburbs of Boston, with 4.1% year-over-year appreciation reflecting steady demand from families and professionals
The town's 32,000 population across 12.7 square miles generates approximately 350 residential transactions annually, with single-family homes accounting for 78% of sales volume
Needham's 1.5 months of supply and 16-day median DOM place it firmly in seller's market territory — comparable to Lexington and tighter than Wellesley
The Needham Heights vs. Needham Center pricing split creates two distinct micro-markets within one town, with a $200,000+ median price gap between neighborhoods
US Tech Automations helps agents navigate Needham's bifurcated market with neighborhood-specific CRM segmentation, automated market reports, and school-zone-aware outreach campaigns
Needham Market Fundamentals
Needham is a town in Norfolk County, Massachusetts, located approximately 12 miles southwest of downtown Boston along the Route 128/I-95 corridor. Bordered by Wellesley to the west, Newton to the north, and Dedham to the east, Needham occupies a premium position in the western suburban arc where top-rated schools, commuter rail access, and corporate employment centers converge, according to Norfolk County geographic records.
What is the real estate market like in Needham MA? According to MLS PIN data, Needham's median home price of $1,175,000 reflects a market driven by high household incomes (median exceeding $170,000), Needham Public Schools' consistent top-10 state rankings, and direct commuter rail service to Back Bay and South Station. The 4.1% year-over-year appreciation — steady rather than speculative — indicates a market supported by organic demand fundamentals, according to market trend analysis.
| Market Indicator | Needham MA | Wellesley MA | Newton MA | Metro Boston |
|---|---|---|---|---|
| Median Sale Price | $1,175,000 | $1,450,000 | $1,100,000 | $590,000 |
| Price per Square Foot | $425 | $485 | $410 | $365 |
| Annual Transactions | 350 | 320 | 850 | — |
| Months of Supply | 1.5 | 1.4 | 1.8 | 2.2 |
| Median DOM | 16 | 14 | 18 | 22 |
| YoY Appreciation | +4.1% | +3.8% | +3.5% | +3.2% |
According to MLS PIN data, Needham's 4.1% appreciation rate leads the Norfolk County western suburbs, driven by the combination of school quality, transit access, and the expanding Needham Crossing corporate campus. The $425 price per square foot — 16% above metro average — reflects the premium buyers pay for Needham's infrastructure and lifestyle package, according to comparative market analysis.
Needham's combination of commuter rail access (three stations), Route 128 corporate corridor employment, and top-10 ranked public schools creates a demand floor that has prevented meaningful price corrections even during interest rate increases, according to Greater Boston Association of Realtors historical analysis.
Needham Neighborhood Market Breakdown
| Neighborhood | Median Price | Price/Sq Ft | Avg. DOM | Transaction Share |
|---|---|---|---|---|
| Needham Center/Upper | $1,350,000 | $475 | 12 | 22% |
| Charles River area | $1,425,000 | $490 | 14 | 12% |
| Needham Heights | $1,050,000 | $385 | 18 | 28% |
| High Rock/Greene's Hill | $1,200,000 | $440 | 15 | 18% |
| Birds Hill area | $1,275,000 | $455 | 13 | 10% |
| South Needham | $1,100,000 | $395 | 17 | 10% |
Which Needham neighborhood has the best value? According to MLS PIN neighborhood data, Needham Heights at $1,050,000 median represents the primary entry point for families stretching into the Needham school system — a $300,000+ discount compared to Charles River area properties. The 18-day DOM in Needham Heights versus 12 days in Needham Center reflects this price accessibility creating slightly less competitive conditions, according to neighborhood analysis.
According to Norfolk County Registry of Deeds data, the Needham Center/Upper area commands the town's tightest market conditions with 12-day DOM and 22% transaction share, driven by walkability to Needham Center shops, restaurants, and the commuter rail station. Charles River area's premium pricing ($1,425,000) reflects larger lots and proximity to the Charles River Reservation, according to geographic analysis.
Price Distribution Analysis
| Price Range | Transaction Share | Buyer Profile | Avg. DOM |
|---|---|---|---|
| Under $800,000 | 10% | Condos, entry townhomes | 20 |
| $800,000-$1,000,000 | 18% | First-time SFH buyers | 18 |
| $1,000,000-$1,250,000 | 28% | Core family market | 15 |
| $1,250,000-$1,500,000 | 22% | Move-up buyers | 14 |
| $1,500,000-$2,000,000 | 14% | Premium/new construction | 18 |
| Over $2,000,000 | 8% | Luxury/custom | 30 |
According to MLS PIN transaction data, the $1,000,000-$1,500,000 range drives 50% of all Needham sales — representing the core family buyer who earns $200,000-$300,000 household income, has school-age children, and is upgrading from a smaller community or urban condo. Understanding this core buyer's priorities (school quality, commute time, yard size) is the foundation of effective Needham farming.
According to NAR buyer survey data, Needham's core buyers typically begin their search in Brookline or Newton condominiums before discovering they can purchase a single-family home in Needham for comparable pricing with better schools. Agents who intercept this migration pattern — targeting Newton and Brookline renters and condo owners — access Needham's buyer pool at the earliest stage.
According to MLS PIN data, new construction in Needham averages $1,600,000-$2,200,000, representing tear-down rebuilds on existing lots. These premium properties account for 15-20% of annual transactions and command prices 40-60% above the town median, creating a distinct marketing segment, according to construction analysis.
Historical Market Performance
| Year | Median Price | YoY Change | Annual Sales | Months of Supply |
|---|---|---|---|---|
| 2021 | $1,050,000 | +12.8% | 390 | 0.8 |
| 2022 | $1,100,000 | +4.8% | 360 | 1.0 |
| 2023 | $1,095,000 | -0.5% | 340 | 1.5 |
| 2024 | $1,130,000 | +3.2% | 345 | 1.6 |
| 2025 | $1,175,000 | +4.0% | 350 | 1.5 |
According to MLS PIN historical data, Needham's market experienced a brief 0.5% correction in 2023 — the mildest pullback among comparable western suburbs — before resuming appreciation at 3.2% (2024) and 4.0% (2025). The market's resilience reflects Needham's structural demand drivers: school quality and commuter rail access don't diminish during rate increases, according to market cycle analysis.
Is Needham's market overvalued? According to affordability analysis from the Greater Boston Association of Realtors, Needham's price-to-income ratio of approximately 6.9x is consistent with comparable school-driven suburbs (Lexington at 7.2x, Wellesley at 8.5x). The ratio suggests Needham is fairly valued relative to its peer set, with appreciation supported by income growth rather than speculation.
Economic Drivers and Employment
| Employment Factor | Needham Impact | Commute Data |
|---|---|---|
| Needham Crossing (TripAdvisor HQ) | 3,500+ jobs, walk/bike | 0-5 minutes |
| Route 128 corridor | 50,000+ tech/biotech | 5-15 minutes |
| Newton-Wellesley Hospital | 4,000+ healthcare | 5-10 minutes |
| Boston Financial District | Professional services | 30-45 min (rail) |
| Boston Longwood Medical | Healthcare/research | 35-50 min (rail) |
According to Massachusetts Executive Office of Labor and Workforce Development data, Needham's employment base includes substantial local opportunities — Needham Crossing alone hosts TripAdvisor's global headquarters and numerous tech companies. The Route 128 corridor provides 50,000+ technology and biotech positions within a 15-minute drive, creating commute profiles that many comparable suburbs cannot match, according to employment analysis.
According to MBTA commuter rail data, Needham's three stations (Needham Junction, Needham Center, Needham Heights) provide direct service to Back Bay and South Station in 30-40 minutes — a transit advantage that distinguishes Needham from car-dependent western suburbs. This rail access supports both home values and buyer demand from urban professionals seeking suburban schools without sacrificing transit options.
Demographic Profile and Buyer Demand
| Demographic Category | Needham MA | Norfolk County | Massachusetts |
|---|---|---|---|
| Population | 32,000 | 725,000 | 7,030,000 |
| Median Household Income | $172,000 | $115,000 | $89,000 |
| Median Age | 41.8 | 40.2 | 39.6 |
| Owner-Occupied Rate | 80% | 72% | 62% |
| Bachelor's Degree or Higher | 78% | 60% | 45% |
| Households with Children | 36% | 30% | 28% |
According to Census Bureau data, Needham's $172,000 median household income — 49% above the Norfolk County median — reflects a highly educated professional population where 78% hold bachelor's degrees or higher. This income-education profile creates sophisticated buyers who expect data-driven presentations and expert-level market analysis from their agents, according to demographic analysis.
What is the typical Needham home buyer profile? According to NAR buyer survey data, Needham's core buyer is a dual-income professional household aged 34-44 with household income of $200,000-$300,000, typically upgrading from a Newton or Brookline condominium. They prioritize school rankings, commuter rail access, and neighborhood walkability in that order — intelligence that directly shapes effective farming messaging and content strategy, according to buyer profile analysis.
According to Census Bureau migration data, Needham's net positive domestic migration averages 200-300 households annually — primarily young families relocating from urban condominiums, creating a predictable buyer pipeline that agents can intercept at the origin community through targeted digital campaigns and cross-market content.
According to Greater Boston Association of Realtors data, Needham's growing Asian-American population (approximately 18%) represents an expanding buyer demographic that responds to culturally informed outreach. The town's proximity to the Route 128 technology corridor — where significant Asian-American professional employment exists — creates a natural migration pathway that enriches Needham's demographic diversity, according to community analysis.
Commission and Agent Economics
| Commission Metric | Needham MA | Norfolk County | Metro Boston |
|---|---|---|---|
| Average Commission Rate | 4.8% | 4.9% | 5.0% |
| Agent-Side Commission | 2.4% | 2.45% | 2.5% |
| Commission per Transaction | $28,200 | $14,700 | $14,750 |
| Licensed Agents (Area) | 110 | — | — |
| Agents Closing 6+/Year | 30 (27%) | — | 22% |
What can agents earn farming Needham MA? According to MLS PIN production data, Needham's $28,200 median commission per transaction reflects the town's premium price point. An agent closing 10-12 Needham transactions annually generates $282,000-$338,400 in GCI — placing them in the top 5% of Greater Boston agent production, according to production modeling.
| Farming Investment | Monthly Cost | Est. Deals | Annual GCI |
|---|---|---|---|
| Starter (250 homes) | $750 | 2-3 | $56,400-$84,600 |
| Growth (500 homes) | $1,300 | 4-7 | $112,800-$197,400 |
| Dominant (1,000 homes) | $2,200 | 8-12 | $225,600-$338,400 |
Inventory and Supply Analysis
| Inventory Metric | Needham MA | Trend | Impact |
|---|---|---|---|
| Active Listings (Peak) | 55-65 | Stable | Moderate choice for buyers |
| Active Listings (Winter) | 18-25 | Stable | Extreme competition |
| New Construction/Year | 25-35 permits | Steady | Minimal net supply addition |
| Tear-Down/Rebuild Share | 15-20% of transactions | Growing | Raises neighborhood comps |
| Median Ownership Tenure | 12+ years | Stable | Limits listing flow |
| Months of Supply | 1.5 | Stable | Seller's market |
According to MLS PIN inventory data, Needham's chronic supply deficit — averaging 55 active listings against 350 annual transactions — means the market operates at a structural imbalance where listing acquisition is the primary competitive advantage. Agents who can identify and convert potential sellers before they engage other agents control Needham's market dynamics, according to supply analysis.
Why is Needham inventory so low? According to Census Bureau tenure data, Needham homeowners hold their properties for a median of 12+ years — the 80% owner-occupied rate and strong appreciation (4.1% annual) create financial incentives to stay. Combined with limited new construction (25-35 permits annually, primarily tear-down rebuilds), the net inventory gain is near zero, perpetuating the supply deficit, according to inventory trend analysis.
According to Greater Boston Association of Realtors data, Needham's tear-down/rebuild trend generates unique inventory dynamics — each tear-down produces two transactions (original sale, new construction sale) but only adds one net housing unit. The $1,600,000-$2,200,000 price point of new construction also shifts neighborhood comparable values upward, benefiting existing homeowners in adjacent properties, according to construction impact analysis.
USTA Platform Comparison for Needham
| Feature | US Tech Automations | kvCORE | BoomTown | Ylopo |
|---|---|---|---|---|
| Neighborhood Micro-Market Segmentation | Heights vs. Center CRM tags | Basic | No | No |
| Commuter Rail Proximity Marketing | Transit-aware campaigns | No | No | No |
| School Zone Integration | Enrollment and ranking data | No | No | No |
| New Construction Pipeline Tracking | Permit-to-sale monitoring | No | No | No |
| Tear-Down/Rebuild Alert System | Automated workflows | No | No | No |
| Monthly Cost | $149-$399 | $499+ | $750+ | $395+ |
US Tech Automations enables agents to farm Needham's bifurcated market — Needham Heights entry-level versus Needham Center premium — with segmented automation that delivers relevant content to each audience rather than generic town-wide messaging.
Property Tax and Holding Cost Analysis
| Taxing Entity | Rate per $1,000 | Annual Tax on $1,175,000 Home |
|---|---|---|
| Town of Needham | $11.43 | $13,430 |
| Residential Exemption | -$2,410 (estimated) | — |
| Net Effective Tax | — | $11,020 |
| Community Preservation Act | 1.5% surcharge | $165 |
| Water/Sewer (avg.) | — | $2,400 |
According to Needham Board of Assessors data, the town's $11.43 residential tax rate on a $1,175,000 home produces a gross tax bill of approximately $13,430 before the residential exemption reduces the effective burden to approximately $11,020. This tax level — while substantial — is competitive with comparable suburbs (Wellesley at $12,800, Lexington at $11,500 on equivalent homes), according to comparative tax analysis.
How to Farm Needham MA Effectively
Segment your farm between Needham Heights and Needham Center from day one. According to MLS PIN data, the $300,000+ price gap between these neighborhoods means messaging, buyer profiles, and marketing approaches differ fundamentally — US Tech Automations CRM segmentation handles this automatically.
Target Newton and Brookline condo owners with Needham single-family messaging. According to buyer migration data, the condo-to-suburban upgrade is Needham's primary buyer pipeline — intercept it early.
Build content around commuter rail commute times to Boston employment centers. According to MBTA data, Needham's three-station rail access is a competitive advantage over car-dependent alternatives that resonates with dual-income professional families.
Track new construction permits for tear-down/rebuild marketing opportunities. According to building permit data, each tear-down creates two transactions (original home sale, new construction sale) and impacts comparable values for surrounding properties.
Develop school transition expertise for families entering Needham Public Schools. According to enrollment data, school quality drives the majority of Needham relocations — agents who facilitate the transition (tours, registration guidance, program information) build lasting referral relationships.
Create neighborhood comparison content across Needham, Wellesley, and Newton. Cross-town positioning establishes regional authority that generates buyer and seller leads from multiple communities.
Monitor Needham Crossing corporate campus hiring trends. According to employment data, TripAdvisor and adjacent companies generate relocation demand that creates off-cycle transactions outside the typical spring selling season.
Leverage US Tech Automations' automated market reports with neighborhood-specific data. Generic town-wide reports fail to capture Needham's micro-market dynamics — segment reporting by neighborhood to demonstrate local expertise.
Focus luxury marketing ($1.5M+) separately from core market strategies. According to absorption data, the luxury segment has fundamentally different buyer behavior — longer decision timelines, lifestyle-driven criteria, and sensitivity to presentation quality.
Frequently Asked Questions
What is the median home price in Needham MA?
According to MLS PIN data, Needham's median home price is approximately $1,175,000, with 4.1% year-over-year appreciation driven by school quality, commuter rail access, and Route 128 corridor employment.
How does Needham compare to Wellesley for home buyers?
According to comparative market data, Needham's $1,175,000 median is 19% below Wellesley ($1,450,000) with comparable school rankings and better commuter rail access — making it the value alternative for families prioritizing the same suburban quality.
How many homes sell in Needham annually?
According to MLS PIN data, Needham averages approximately 350 residential transactions per year, with single-family homes accounting for 78% of sales and the $1,000,000-$1,500,000 range driving 50% of volume.
What is the difference between Needham Heights and Needham Center?
According to MLS PIN neighborhood data, Needham Heights ($1,050,000 median) serves as the entry-level market while Needham Center/Upper ($1,350,000) commands premium pricing due to walkability, village character, and proximity to shops and rail.
How competitive is the Needham real estate market?
According to MLS PIN data, Needham's 1.5 months of supply and 16-day median DOM indicate a strong seller's market where properly priced homes receive multiple offers and sell quickly.
What school district serves Needham MA?
According to Massachusetts Department of Elementary and Secondary Education data, Needham Public Schools consistently rank in the state's top 10 districts, with Needham High School regularly appearing in national rankings — the primary driver of residential demand.
Is Needham a good town for real estate farming?
According to market analysis, Needham's $28,200 commission per transaction, 350 annual sales, and bifurcated neighborhood market create a high-value farming opportunity. The 110 licensed agents with 27% closing 6+/year indicates moderate competition.
How long do homes take to sell in Needham?
According to MLS PIN data, the median DOM is 16 days town-wide, with Needham Center properties averaging 12 days and Needham Heights averaging 18 days.
What are property taxes in Needham MA?
According to Needham Board of Assessors data, the residential tax rate of $11.43 per $1,000 produces an approximate $11,020 net annual tax on a $1,175,000 home after the residential exemption.
Conclusion: Needham's Balanced Market Opportunity
According to market trend analysis, Needham's combination of school quality, transit access, and corporate employment proximity creates a demand foundation that has supported consistent appreciation through multiple economic cycles — a resilience that rewards long-term farming commitment with predictable deal flow and premium commission economics.
Needham delivers the rare combination of premium transaction values ($28,200 per deal), consistent annual volume (350 sales), and market stability (4.1% steady appreciation) that creates sustainable farming economics. The town's bifurcated market — Needham Heights entry-level versus Needham Center premium — allows agents to serve multiple buyer segments within a single compact farming zone.
The structural demand drivers — Needham Public Schools, commuter rail access, and Route 128 employment — create a demand floor that protects against market volatility while generating consistent transaction flow. For agents who understand the neighborhood micro-markets and buyer migration patterns, Needham rewards expertise with top-tier GCI.
US Tech Automations provides the neighborhood segmentation, school-zone integration, and automated market reporting that Needham's data-driven buyers expect. Start farming Needham's premium market today.
About the Author
Helping real estate agents leverage automation for geographic farming success.
