Wallet Hub’s Ranking of Best Small Cities

Massachusetts Cities that Made the List

First, a bit about their methodology – they scored the cities on the categories of Affordability, Economic Health, Education & Health Rank, Safety and Quality of Life.  If your city did not rank high on the list or did not make it at all it could be that is not in the category of Small City as they define it – a population of 25,000 to 100,000. Or that your city is too expensive to live in or does not rank high on one of the other categories.

Source: WalletHub

A good number of Massachusetts Cities made the list and ranked especially well on Health with many cities having a large percentage of the population insured.

Here are the Massachusetts cities that made the list.  The full report can be found here – Wallethub 2019 Ranking of Small Cities.

  • #4 Melrose
  • #6 Lexington
  • #7 Milton
  • #11 Needham
  • #16 Newton
  • #18 Arlington
  • #35 Brookline
  • #37 Wakefield
  • #46 Wellesley
  • #52 Medford
  • # 67 Woburn
  • #72 Waltham
  • #79 Salem
  • #87 Somerville

Of these, Melrose, Lexington, Arlington, and Milton ranked high on Percentage of the Population who are insured.

Milton and Lexington ranked high on Lowest Crime rate.  Many of the MA cities ranked high on Safety – in this order – Lexington, Milton, Arlington, Melrose, Wellesley, Needham, Newton

Nearly all the MA cities ranked high in Education and Health – in this order –  Lexington, Arlington, Newton, Wellesley, Melrose, Needham, Brookline, Woburn, Milton,Wakefield, Medford, Norwood,Northampton, Waltham, Marlborough, Somerville. 

No surprise that none of the MA cities ranked high on affordability.

Salem ranked highest on Quality of life, by a wide margin! 

If you want to get real estate listings for any of these towns, just ask!

Michelle J. Lane

MICHELLE J. LANE, Realtor
Century 21 Commonwealth
CELL: 617 584-3904

 

Open Houses in Newton Sept 14/15

With 127 Open Houses, there is lots to see!  Nice weather for it too.

Michelle J. Lane

MICHELLE J. LANE, Realtor
Century 21 Commonwealth
CELL: 617 584-3904

Closed Sale in Norwood

Just sold this lovely home in Norwood Center.  A great result for the sellers, selling for far more than they anticipated!  They took good care of the home and took my advice in clearing out the house and letting me help with staging.

Stay tuned as I will have a similar house for sale in Norwood in the spring.   Contact me for more info.

If you are thinking of selling this fall or spring, now is the time to talk about staging and pricing.

 

                 

 

 

 

 

 

 

Michelle J. Lane

MICHELLE J. LANE, Realtor
Century 21 Commonwealth
CELL: 617 584-3904

 

New to the Market in Newton Week of Sept 9th

New listings on the market the week of Sept 9th.

Lots to see this week and a beautiful weekend to see new listings.

https://bit.ly/2WaP0Ba

If you need help buying a home in Newton, contact me – info below.

 

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

 

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

Century 21 Commonwealth is now Berkshire Hathaway Home Services Commonwealth

Starting November 1st, I will be a part of the Berkshire Hathway HomeServices organization!  While I have enjoyed being affiliated with Century 21 these past 9 years, I am looking forward to the change.  Century 21 is a very established company with a global presence and many JD Powers awards under their belt.  And I am going to miss getting my Academy Award Statues from them.  🙂

However, I am excited about the change.  Berkshire Hathaway HomeServices is the fastest growing Real Estate brand today with 47,000 agents worldwide.  And the brand was just recognized as Real Estate Agency Brand of Year and Most Trusted Real Estate Brand in the 2018 Harris Poll EquiTrend Study.

Personally, I feel the colors and branding of Berkshire Hathaway HomeServices are more polished and better suited to a luxury brand in a luxury market.  My sellers will appreciate the more elegant home selling materials.

Nothing changes on the back end.  Commonwealth is simply changing their affiliation from Century 21 to Berkshire Hathaway HomeServices.  We still have the same 22 offices (and will be adding more), the same 500 agents, the same marketing, great service and all you have come to expect.  You will still reach me in all the same ways you did before. 

Here is a link to the full press release.

Please let me know if you have any questions on this change.

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

 

DO POT SHOPS DEVALUE HOMES?

With the legalization of recreational marijuana in Massachusetts and the opening of shops in Newton potentially on the horizon, I am being asked if pot shops will negatively affect the value of homes in the vicinity of the shops.  The answer will surprise you – several studies on the subject all came to the same conclusion – pot shops increase the value of nearby homes. 

Almost all studies focus on Colorado given recreational sale of marijuana was legalized in January 2014, providing a good span of data to study.  But studies of states with at least 1 year of data show the same trend.

  1. Real Estate Economics, in this study, James Conklin and coauthors studied how the conversion of medical marijuana stores to recreational marijuana stores affected housing prices in Denver, CO. Their research provided strong evidence that homes located near such converted stores experienced a much higher increase in value than houses located farther away — as much as 8 per cent more.
  2. Economic Inquiry – in a recent article, Cheng Cheng and coauthors found almost similar results suggesting a 6 per cent premium in prices for homes sold in municipalities that legalized retail sales of marijuana, versus those that didn’t.
  3. Realtor.com found that since the first recreational pot shops opened, the median home price in the state jumped from $248,000 in the first half of 2014 to $298,000 in the first half of 2016. Realtor.com reports the four states with at least a year of experience with recreational marijuana sales showed a marked increase in home prices — well above the national median price.
  4. An academic study from two University of Mississippi economics professors, estimates that Colorado’s legalization of recreational cannabis and local governments’ approval of retail outlets within their jurisdictions increased housing values by an average of 6 percent.
  5. A second study, from the University of Wisconsin School of Business and economics researchers from two additional universities, focused on property values in Denver and found that homes near retail cannabis outlets — within just 0.1 miles — gained 8.4 percent more in value than houses just steps further away, from 0.1 to 0.25 miles. That big increase amounted to almost $27,000 for an average house.

SOME POSSIBLE REASONS FOR THE INCREASE IN VALUE

  1. Homes around marijuana dispensaries may have been subject to a discount prior to legalization, but that legalization with no ill effect, lifted the stigma around such homes. We’ll have to watch home values in Newton over time to know if that is happening here, but so far, that does not appear to be the case.
  2. Another is that the stores had economic effects that were highly localized and boosted the economic profiles of their specific neighborhood – more jobs, bringing customers into nearby shops, paying high commercial rents, etc.
  3. Legalization led to a surge in housing demand prompted by marijuana-related jobs. And, as existing residents become more willing to remain in place, the housing supply drops as demand rises, thus the increase in property values.

It is a different story for communities harboring grow houses.  Surrounding properties do lose value because the pungent odor the plant emits turns off home seekers.

Another concern around legalization is the claim it will encourage more crime and further reduce home values of those living near growers, manufacturers, and retailers. The FBI’s Uniform Crime Report indicates a 3.5% increase since Jan 2014.  It’s important to note, however, the city began tracking marijuana-related crimes as well, which make up less than 1% of all offenses.  Experts believe the growth is tied to population growth and and not directly tied to the sale or use of the drug.

One could see that the incidents of people driving under the influence could increase.  Particularly if they are driving to a shop to get their pot.  But I suspect that if people are the type to drive under the influence, they are already doing so.

It is highly unlikely that someone is going to mug you for the pot you have in your pocket considering it is legal for everyone over the age of 21 to grow their own pot at home.  The opioid and heroin epidemic is a far greater concern when it comes to crime.  As Realtors, we warn our clients not to leave any pain medication in their medicine cabinets as addicts have been known to come to open houses and rifle through medicine cabinets.  No one is going to come through your house looking for your pot considering they can legally grow or buy it themselves.

The biggest concern is robbery of pot shops.  Because marijuana is not legalized on a federal level, shops are not able to take credit cards or checks.  They therefore, carry a lot of cash, which makes them susceptible to armed robbery.   The shops and the federal government are looking for solutions to this problem, so this could get solved over time.

So the targets of crime are the cultivators and shops.  There is no evidence that people who live around the facilities are at a higher risk of crime.

The bottom line is that evidence so far indicates that home values increase in neighborhoods where there are recreational marijuana dispensaries.

I believe right now, the biggest risk to home values is the natural ebb of the market.   It is natural for the market to soften after several years of growth and that seems to be happening now.  Buyers are being much more selective in what they will put an offer in on.  They want move-in ready houses with new kitchens and baths, Central A/C, recessed lights, newer roof, windows, mechanicals etc.  In other words, new or like-new homes, and are willing to pay a premium for those.  Houses that do not have all this are starting to languish.  Particularly as sellers believe they are riding a wave of ever increasing prices and are pricing their homes too high.

I’ll be writing another blog entry on this topic shortly so stay tuned.

Michelle J. Lane
MICHELLE J. LANE, Realtor
Century 21 Commonwealth
CELL: 617 584-3904

 

Does Remodeling for a Home Sale make sense?

by Michelle J. Lane, Realtor

I often get asked by clients what they shoud do to prepare their home for the market.  The answer, unless the property makes sense for a builder, for the most part, is clean up, do necessary repairs and sell the property you have.

While nice kitchens and baths do sell a home, spending the money to renovate these right before a sale will net you less in the end.   The Remodeling ROI report for 2018 outlines the average cost of remodeling projects and the return on those costs.  You can see from the chart below that the only renovation that gives you a 100% return is replacing the garage door.

That is not to say that you shouldn’t do renovations on your home, just that you should do them several years before you sell your house so that you can get some enjoyment out of them first.  After all, that is part of the ROI.

So where to expend your effort if you are getting ready for a sale?  

  • Clear out all the extra junk in attics, basements, closets, etc.  If it is not going with you to the next place, sell, donate, trash.
  • Fix things that are broken.  Seeing visibly broken things affects the buyer’s perception of value.  Look around your house for broken panes of glass, rotted wood, holes in the walls, light switches that don’t work, have your furnace cleaned, touch up paint, etc.  Those things are worth addressing.
  • Curb appeal  – have the yard cleaned up, edged, plant some nice flowers.
  • Have the house professionally cleaned.

I deal a lot in estate sales.  I would say that for most of those, it is also worthwhile to take up the wall-to-wall carpeting that is covering hardwood floors and, if necessary, refinish the floors.  The impact of how much it transforms the house is worth the expense.  This is fairly easy to do with estate homes as they can be cleared out.  Understandably tough to do this for a house you still occupy.

If selling your home is a few years away, it is worthwhile to have your Realtor come in and walk through the house with you to give you a checklist of those things you can do to prepare your home for sale.  That way you can take your time getting the work done and can enjoy the rewards of getting it done before you go to market.

If you want help with that, just ask!

Michelle J. Lane
MICHELLE J. LANE, Realtor
Century 21 Commonwealth
CELL: 617 584-3904

Brookline Stats – Week of Feb 12, 2018

Comparison of what is on the market in Brookline this year vs last year.  One less property.  Median price is down. 

 

 

 

 

 

 

 

 

 

 

 

 
 
 
 
 
 
 
 
 
Michelle J. Lane
MICHELLE J. LANE, Realtor
Century 21 Commonwealth
CELL: 617 584-3904

Newton Stats – Week of February 12 2018

Comparison of what is on the market this week vs same time last year.  5 fewer properties and slightly lower median price.  We are trending lower inventory overall this year.

 

Michelle J. Lane

MICHELLE J. LANE, Realtor
Century 21 Commonwealth
CELL: 617 584-3904