Today I decided to do some research and see what price ranges are really selling in Boston. My guess is it's properties in the $300,000-$400,000, but I'll let the data do the talking. According to MLS, 1156 condos have sold in Boston in the last 3 months. For MLS purposes, "Boston" includes Allston, Back Bay, Beacon Hill, Brighton, Charlestown, Chinatown, Dorchester, East Boston, Financial District, Hyde Park, Jamaica Plain, Leather District, Midtown, North End, Seaport District, South End, South Boston, The Fenway, Theatre District, and the Waterfront.
Now for the data. If you click "What's Selling in Boston", a PDF should pop up with the full list of sales. Not surprisingly, the most active price point was $300,000-$400,000 which had 306 condo sales. I believe the $8,000 first time home buyer credit has helped this segment of the market. Once you get above a $500,000 purchase price, most individuals or couples will not qualify for the credit as they probably earn more than is allowed under the program. For single taxpayers the cap is $75,000, and $150,000 for married couples filing a jointly. Certainly not ground breaking information, but interesting to see.
As far as the local real estate market, year over year volume and prices are down. I expect to see an increase in activity in September, October, and November as the summer ends and people try to beat the December 1st deadline for the first time home buyer credit. As far as the luxury market, I think we are looking into at least 2010 to see a recovery.