Is the Boston Market Slowing Down?

Yes, it would seem so.   As a Realtor, I can tell you subjectively, that it feels as if it is.  Buyers are looking, but not buying or are lowballing homes that don’t sell right away (usually those that need work or are on busy roads).  One might think that is just the normal slow down as we approach winter.  So I ran the numbers to check. I chose two neighborhoods in Boston, a town north of, west of, and south of Boston.  I have run these numbers only for single family sales.  Otherwise, it becomes like comparing apples and oranges.   It can be tough to tell what is going on just by median price.  Any town can have a fluke in one month where a pricey home or two sold or a couple of particularly rundown homes sold.  So I have included numbers for Days on Market (DOM), # of Listings Sold and a snapshot number of houses on the market today vs a year ago.  You can see that overall, the number of listings sold is going down while days on market is going up.  These are indications of a slow down, seasonally adjusted.

At the end of the year, we will update our spreadsheet that shows the numbers for most Eastern MA towns for the year, and shows the trending over the past couple of decades.  That can be found here – 

Boston Area Home Values

Town Sept 2017 Sept 2018 Oct 2017 Oct 2018
Newton        
Median Price $1,107,500 $1,002,500 $960,000 $1,220,000
Days on Market 41 45 25 61
# of Listings Sold 48 37 37 31
# on Market     118 127
         
Malden        
Median Price $462,500 $473,200 $450,000 $528,888
Days on Market 22 25 32 18
# of Listings Sold 24 17 16 9
# on Market     14 34
         
Dedham        
Median Price $484,500 $465,000 $486,000 $522,500
Days on Market 38 42 39 27
# of Listings Sold 12 15 21 22
# on Market     44 51
         
Jamaica Plain        
Median Price 871,000 $897,500 $705,000 $1,067,500
Day on Market 23 89 70 21
# of Listings Sold 5 4 5 6
# on Market     8 7
         
West Roxbury        
Median Price $575,000 $677,000 $605,000 $600,000
Days on Market 51 33 42 29
# of Listings Sold 18 10 22 23
# on Market     20 30

 

So what does this mean for Boston area home owners? No need to panic, this is part of the normal cycle of real estate values. If you are not looking to sell, you’ll be fine over time – check our spreadsheet for proof of that!  If you want to sell next year it may mean that you will have to put money and work into presenting your home in the best possible light.  And you will have to be realistic about price.  Every town and every house are different, so if you want to know what you need to do to get your home sold either this winter or in the spring, just reach out to me so we can discuss.

What does it mean for Buyers?  You may not be fighting so many people in bidding wars moving forward.  There will still be bidding wars.  Because this is an area with affluent buyers who all want a move-in ready home with great spaces and details.  If they have to fight someone for that, they will.  It’s the homes that need work or are in less desirable locations where good deals will be found.  

Buyers do need to keep an eye on interest rates.  If they continue to rise, which I expect they will, that may further supress home prices.  But you’ll be making up those savings with what you pay in added interest.  

If you want the analysis for your particular town, just ask.  And if you need help buying or selling, I am here to help.

Michelle J. Lane
MICHELLE J. LANE, Realtor
Berkshire Hathaway HomeServices Commonwealth
CELL: 617 584-3904

Buyer Testimonial – Jamaica Plain

Michelle had previously done a wonderful job in helping us purchase our first condo, so it was an easy decision to ask her to help us sell the condo and buy a single-family house.  And she exceeded our high expectations!  She diligently and patiently helped us with our search for the right place to buy, while also helping us plan how to stage our place (with two small children) once we were ready to put it on the market.  She supported our decision to walk away from a property when the seller would not come down in price.  She did a truly fantastic job staging our place (including bringing in furniture and furnishings) which, together with her open-house savvy and wonderful photographer (Colin Patrick), we credit for the sale price; well above asking, and more than we had even let ourselves hope it could get.  Meanwhile, on the buy-side, through several rounds of tough negotiations, resulted in our getting the place for considerably under the asking price in a very competitive neighborhood.  And throughout, Michelle could not have been more patient, kind, positive, constructive, and helpful.  I would recommend her to anyone!

Elizabeth

Seller Testimonial – Jamaica Plain

Michelle had previously done a wonderful job in helping us purchase our first condo, so it was an easy decision to ask her to help us sell the condo and buy a single-family house.  And she exceeded our high expectations!  She diligently and patiently helped us with our search for the right place to buy, while also helping us plan how to stage our place (with two small children) once we were ready to put it on the market.  She supported our decision to walk away from a property when the seller would not come down in price.  She did a truly fantastic job staging our place (including bringing in furniture and furnishings) which, together with her open-house savvy and wonderful photographer (Colin Patrick), we credit for the sale price; well above asking, and more than we had even let ourselves hope it could get.  Meanwhile, on the buy-side, through several rounds of tough negotiations, resulted in our getting the place for considerably under the asking price in a very competitive neighborhood.  And throughout, Michelle could not have been more patient, kind, positive, constructive, and helpful.  I would recommend her to anyone!

Elizabeth

MSN Ranks Jamaica Plain in Top 10 Revitalized Neighborhoods

Jamaica Plain, Boston

A 1960s proposal to build a highway through the “southwest corridor” of Boston’s Jamaica Plain neighborhood accelerated white flight to the suburbs. The road was never built, but during the project’s planning stages, hundreds of businesses and families were uprooted, shaking the community.

Many of the former factory workers’ homes turned over to Cuban, Dominican and Puerto Rican immigrants, giving the neighborhood an eclectic mix. But abandoned factories left the neighborhood in a state of neglect.

The turnaround started in the late 1980s, when cheap rent attracted students, artists and a vibrant lesbian and gay community. In the past decade, conversion of commercial spaces into condos added to the neighborhood’s appeal for new residents. Now Jamaica Plain, a 4.5-square-mile community, has become one of the hottest neighborhoods in Boston, leaving some local boosters wondering if they can afford to stay.

And if this piqued your interest in JP, I have a beautiful condo coming on the market soon, just ask for details!

MICHELLE J. LANE, Realtor
Century 21 Commonwealth
CELL: 617 584-3904
michelle@michellelanerealtor.com
www.MichelleLaneRealtor.com

Upcoming Listing – 2 bed, 1.5 bath condo in Jamaica Plain

Lovely 2-level condo in JP - with 2-car garage!

Coming up in early March. Spacious two-level condo offers all the charm of a period home, yet is beautifully updated and maintained for modern living. This 1536sf 2-bed, 1.5 bath home offers a walk-in master closet, a formal dining room, eat-in kitchen with tile floor and radiant heat, living room with beautiful fireplace, sun-filled den/office, and laundry room. Hardwood floors throughout, 2-car garage and a gorgeous private patio! Fantastic location – beautiful dead-end street, right up the street from the T.

MICHELLE J. LANE, Realtor
Century 21 Commonwealth
CELL: 617 584-3904
michelle@michellelanerealtor.com
www.MichelleLaneRealtor.com