It’s crazy how our minds adjust to real estate pricing in the neighborhood. Back in the 80’s anything in the $90,000 range was pricey. In the 90’s $225K was the norm. A few years back $500,000. Now $900K is what it will cost for a roughly 960-1800 square feet of living.
According to Curbed Boston, here’s what $900,000 will buy you in the city of Boston. After closing costs, realtor fees, you could be talking close to $1M dollars.
South Boston:
A 960 square-foot one bedroom/one bath unit at PORT45 – at 45 West Third Street is on the market for $899K. The under-construction full-service building hopes to completed in early spring. $516.22 is the condo fee.
At 125 B Street – Unit 45, this 1134 square foot two-bedroom/two-bath unit will run you $899,000 with a $405.50 monthly condo fee.
Dorchester:
The Lofts at Lower Mills at 1243 Adams Street is asking $899,000. It’s a 1778 square-foot duplex with two bathrooms. The condo fee is $940 per month.
Also included in the article by Curbed, is 2100 square foot Victorian home in JP and 1200 square foot two-bedroom in the South End.
What do you think?
Buyers don’t pay realtor fees
at $900,000 it’s a steal then!
In a typical market, just like tenants don’t pay broker fees in the typical market….but Boston is far from that.
Imagine if you still owned a property that you paid $90k for in the 80’s! Seriously, this is true everywhere in not only metro Boston, but the majority of the east coast. Also, in the 70’s and 80’s, Boston wasn’t exactly a desirable city to live in. Think about the South End – kind of a scary place at the time. Over the past 30 years, there has been tremendous growth and development that ha thrust the city into the global spotlight. Doesn’t come without significant change. Some good, some bad.
People who have bought in the last couple years and plan to stay long term are going to get badly burned. I can’t believe people bite at multi-million dollar prices in a 4th/5th string neighborhood of this metro.
Do you have anything to back that statement up? Or are you just making baseless claims? My condos have risen 30% in value over the last 3 years and as long as companies and people continue to move here (see Reebok, GE, Amazon) real estate prices will continue to rise.
Yes, your exact point about how vigorously your properties have appreciated in the last few years. We will NEVER again see appreciation like that in our lifetime. The mass influx of people into urban Boston is starting to slow.
The new tax bill caps your local/state income tax deduction at 10k, a number that negatively impacts almost every homeowner making 75k or more assuming they have at least a 5k property tax bill. On top of owning being slightly less attractive based on that bill….we have THOUSANDS of units coming online in the next couple years. The increase in supply, combined with the slightly less attractive tax incentives of buying will result in stagnant appreciation. Which is why I said people who bought recently for a short term hold while they’re here are going to get burned. They’re going to end up selling for what they bought in for, or less while eating the transaction costs.
*local/ state tax deduction (not just income tax)
**By “bought recently” I’m referring to 2016 – today
AND, let’s not forget how quickly the boomers will be dropping come 2020-2025. There is going to be some serious demographic swings in that time period. All your parents who live in the home they raised you in, in Newton, Wellesly, Needham, Etc. will eventually move out to assisted living or will be dead. Who is going to fill those homes? Millenials with kids who used to live in Southie but don’t trust BPS.
You seem to be confusing “stagnant appreciation” with “price drop”.
No, I should have said “will lose some amount of money” instead of badly burned, I will concede that.
Getting burned that badly would mean that a terrible economic situation occurred which would impact everyone. Kind of like the recession 10 years ago. I’m sure the schadenfreude of’ yuppies’ losing their parent’s ‘trust fund’ money spent on a ‘luxury condo’ is tempting, but trust me, everyone would feel the pain.
Back when I was your age, I used to walk fifteeeeen miles to school… in the snow… up hill.
Yes real estate prices rise over time, often dramatically. More people + finite amount of land = price inflation. Not sure what the point of this article is.
As someone who has lived in SOUTHIE over 60 years this beloved town will always be a great investment..Why? SAFE, GREAT BEACHES,PROXIMITY TO DOWNTOWN, WONDERFUL PEOPLE, CHURCHES, GREAT SCHOOLS (both public and private)and most importand SOUTHIE TRADITION!!