According to the Boston Listing Information Network, or LINK, fewer condos sold in Boston than at any time in the past two years. But the problem wasn’t lack of interest; it was lack of options. Condos in Boston have become increasingly attractive, raising prices and shrinking inventory. Only 963 units were sold in Boston’s various neighborhoods last quarter, which is an 8 percent drop from one year ago.
At the same time, the median price of condos for sale in Boston rose by 12 percent, a clear indicator that it’s a seller’s market; with fewer choices available, sellers are charging—and getting—more per square foot than ever before. Not unexpectedly, the waterfront is still Boston’s most desirable area, with median condo prices now standing at $1.17 million.
Other trends are developing in the wake of this condo scarcity, including a huge jump in condo prices in Fenway, which historically was a more affordable neighborhood. In fact, median Fenway condo prices jumped an astounding 43 percent in the year ending June 30, from $374,000 to $531,500. Some believe that Fenway is now the hottest neighborhood after the Seaport and Southie, with condo shoppers being priced out of Back Bay (where the median condo price is now $895,000) and investors looking to capitalize on the always-available student rental market.
All of this doesn’t mean there are no condos to purchase, but it does mean that the prices available a few years ago are nowhere to be found. The number of Boston condo listings on MLS is currently around 525, which is significantly less than the 800+ that were available four short years ago. And if you happen to be interested in selling your condo, there’s a good chance that you’re going to be very happy with the price you can get for it today.
Whether you’re in the market to buy or sell a condo in Boston, contact us today to learn more.