Boston Real Estate Market Review 2021 • Benzinga

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Boston is one of the most populous cities in the country. Popular for museums, colleges, tours and attractions, the historic Boston metropolis is home to 4.8 million people and continues to grow. It is a wonderful place to live, visit and retreat with something for everyone. In fact, the Boston real estate market has seen an increase in the number of households over the past year.

Boston current market conditions

  • Home prices in the Boston metro area are up 12% year over year.
  • Since that time last year, 8,000 new families have sprung up in Boston.
  • Housing supply fell to 1.4 months.

Buying a home in Boston

Housing prices in Boston

Median home value in Boston: $ 605,000

National average: $ 371,000

Average home prices in Boston have risen by nearly $ 200,000 over the past 5 years. In the last year alone, they have increased by 12%. Nationally, home prices have risen 22.4% over the past year, but overall home prices in Boston have risen more impressively over the past 5 years. Both continue to rise to new levels that have not been heard of in recent years. Most of Massachusetts’ wealthiest cities are located in and around Boston, so it should come as no surprise that the area will continue to grow and prosper as the real estate market grows.

Boston Housing

The Boston metropolitan area currently has a 1.4 month housing offer. This is 0.86 months lower compared to the same period last year and still has a downward trend. Similar to the nationwide data showing the supply of homes at 1.1 months, supply is low and demand is high. There are not enough houses for sale for the number of buyers who are looking for, which leads to higher house prices. Sellers will get more for their homes than they ever expected, and buyers will pay more to get to this popular city.

Buying property in Boston

As with many major cities and popular tourist destinations, the pandemic has hit Boston hard. The long cold winters and travel restrictions are wreaking havoc on the hospitality industry and rental market. It takes a little longer to get back to normal.

Boston rental prices

Average rental price in Boston: $ 2,454.

National average: $ 1704

Rental prices were the highest in recent years in March 2020. After that, the pandemic caused prices to fall. However, they grow again. They decreased by 4.1% compared to last year, but now they are showing an upward trend. Rental prices in the country are up 3% over last year and continue to rise even during the pandemic. Given the trend in rents in Boston prior to the outbreak of the pandemic, there is every reason to believe that prices will bounce back and rise even higher than before. For real estate investorsThis means that now is a good time to move to the Boston metropolitan area and get a promising rental investment.

Boston Rentals Jobs

Job rentals in Boston: 6.9%

National average: 6.8%

Vacancies for rent in Boston are close to the national average. Nationwide, the number of rental vacancies is more stable, while the rental market in Boston has always been volatile. It is a tourist destination and a popular campus, so the number of vacancies for rent here drops in certain months and then rises again. There are now as many vacancies as there were during the peak of the pandemic. Rental prices have dropped due to the current oversupply. Job vacancies in Boston have stabilized and another cut is set to take place soon, which could spike prices. For investors looking to buy rental properties in Boston, the jump to the market now means paying more for the property and then patiently leaving it until the rental market recovers. But if you do right before students return to full-time education in the fall, you will probably be fine.

Boston foreclosures

Boston foreclosure rate: 0.3%

National average: 0.3%

At the national level foreclosure are at an all-time low. The same is true for Boston. Both have fallen 0.1% over the past year. With a housing shortage, more people and investors were interested in buying foreclosures to redo or turn over. This is great for the real estate market as fewer and fewer homes are in distress and abandonment. Investors find it harder to find a lucrative foreclosure deal as numbers are so low and competition among buyers is fiercer than ever.

Ransom lists

Boston areas

Fisher College on Beacon Street

Boston’s most expensive neighborhood is Fisher College on Beacon Street. This area is more expensive than 99.4% of the US neighborhoods. Average home prices are in excess of $ 2 million and rents are nearly $ 4,000. Historic district, here residential buildings, built before 1939, in which both owners and tenants live. This city block consists mainly of apartment buildings and multi-storey complexes. About 10% of these houses are inhabited seasonally, as college students often visit here. In addition to college students, the population here is mainly composed of highly educated townspeople. These wealthy city dwellers love to hike, art and theater.

Downtown / Suffolk University

Another popular destination in Boston is Downtown / Suffolk University. A wealthy coastal town, houses here cost around $ 1.3 million and rentals around $ 5,000. These residences are mainly located in apartment buildings or high-rise complexes and are occupied by tenants. Most of the buildings were built between 1970 and 1999. The vacancy rate here is over 20%, of which almost 12% are seasonal. Most of the staff here consists of managers and professionals with high-level positions. Nearly half of these professionals do not own a car, but instead walk or train to work.

Ridville and Stonybrook Village

A more accessible part of Boston is in Ridville and Stonybrook Village. Average home prices here are $ 471,218 and rent around $ 2,500. It is an urban area, consisting mainly of small and medium-sized single-family houses and small apartment buildings. The residences here are mainly occupied by the owners. In this well-established area, the vacancy rate is only 2.9%, which means a high demand for living in the area. Small shops and corner shops are common in the area, as is the cultural diversity. There are different positions here: from manager to service personnel, from clerical to production personnel.

Economic condition of Boston

As a city hit hard by the pandemic, Boston is returning to normal. Unemployment numbers go down. Employment opportunities are emerging with full-time businesses, face-to-face colleges, and exploration-ready travelers.

Boston unemployment

Boston unemployment rate: 5.9%

National average: 6.1%

The unemployment rate in the Boston metropolitan area was low in March 2020 at just 2.9%. During the pandemic, that rate rose sharply to 15.6% and has since dropped to more normal levels. Although the rate is still 3% higher compared to last year, it is declining. On the national average, about the same thing happened, rising to 14.8% and falling to 6.1%. The unemployment rate continues to decline, new businesses are opening and new job opportunities are opening up.

Top employers in Boston

Massachusetts General Hospital is the largest employer in Boston with 11,400 employees. It is one of the five best hospitals in America. It has received many awards and offers more than just healthcare. Brigham and Women’s Hospital is another major employer with 8,600 employees. Both of these hospitals operate hospitals affiliated with Harvard Medical School.

Fidelity Investments is headquartered in Boston and employs 8,000 people. It is one of the largest financial companies in the world that offers professional financial services to its clients, as well as many benefits and programs for its employees.

Boston University, which employs 7,400 people, is one of the largest private universities in the United States. This university offers over 300 programs with a wide variety of courses and majors. It also offers 500 student clubs, as well as support and resources for enrolled students and alumni.

Boston real estate market results

The Boston area real estate market is making a comeback and may be better than ever. Households have risen, house prices have risen strongly, and job opportunities are recovering. The rental market will take a little longer to get back to normal because prices are lower and job vacancies are on the rise, but overall it looks like Boston is heading towards a successful recovery from a tough year.

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