State of the Market – February 2018

by Michelle J. Lane, Realtor

I am writing this on the tail of my post of a couple of weeks ago.  I don’t typically give you updates so frequently, but given it is year end, I have just updated my market report on how the Greater Boston towns have fared over the past few years, through the last slump all the way back to the last peak.  The chart now includes the data for 2017 and can be found by clicking on the image below.

You will notice that most towns have faired well over the past few years, with most having surpassed their pre slump prices.  The towns north of Boston – Somerville, Everett, Malden, and the Boston neighborhoods that had the most room to climb – Mattapan, Dorcester, Chelsea, South Boston, Winthrop have seen the greatest growth. 

I would expect this growth to slow down as interest rates climb.   As I have mentioned in past updates, the real estate market goes in roughly 10 year cycles, where it will climb, level off, come down a bit, then go back up, usually not dipping below the past low.  The last dip we had was in 2012, so it’s been 5 years of growth.  We are due for a leveling off.   The recent increase in interest rates is the start of that.  They have been climbing for a few weeks now and came out today at 4.22% for a conventional 30 year mortgage.    If you want to chat about your home’s value and best time to sell, contact me.

This update is more for the benefit of sellers.  Because of tight inventory, I believe we will still have some growth this spring, but not what we have been seeing.  So, if you are an owner who is thinking of selling, this would be a good year to do so.

Michelle J. Lane

Century 21 Commonwealth
CELL: 617 584-3904
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