Boston real estate is determined by supply and demand. There is a high demand for housing in our city due to our world renowned universities and hospitals. As long as there is a high demand for housing and the supply is limited… prices will continue to rise. We have a finite amount of land so developers are forced to be creative and build upwards or convert multi-families into individual condominiums.
Interest rates are relatively low so there are more buyers on the market so the competition is heavy
Price increases when you have multiple people applying for the same property. If you want an apartment or a house, you will increase your offer price to ensure you beat the competition.
In short, prices will continue to rise until supply meets demands.
For more information on the Boston Market or to connect with one of our agents please call 617-297-8641 or email us at contact@Mandrellco.com
7 Home Buying Myths Resolved
MYTH: I need an excellent credit score to buy a home
FACT: You do not need excellent credit, you can purchase a home with a 600 credit score. To take advantage of better lending opportunities you should aim to have a credit score in the 700s or higher.
MYTH: I need to earn a ton of money to buy a home
FACT: You do not need to make a ton of money. You need to think strategically. Better housing options are available with higher income but if you make around $40,000/yr and purchase a multifamily, you could afford a much larger mortgage payment because your tenants are helping pay down your debt and their rent counts as additional income.
MYTH: I need to have a big down payment to buy a home
FACT: Typically, lenders want to see you have more money to put toward a down payment. FHA and Mass Housing allow for 3.5% and 3% down. There are also a few programs that provide down payment assistance.
MYTH: I’m more stable if I continue to rent versus buying
FACT: When you own, you control your payments, while taxes may increase, it is not a substantial increase and you have time to prepare. When you rent, you have no control over how much your rent will increased over time. If you had a great deal and your landlord realizes he could receive more money…once your lease term is over, he can increase your rent to the market rate.
MYTH: I need to live there until the mortgage is paid off
FACT: You do not need to live in the house for the life of the mortgage. You can purchase a home and rent it out one year later OR if the market appreciates, you can sell it within a couple years and cash out on all the equity. You can sell at any time.
MYTH:I should spend the maximum amount allowed
FACT: When you get pre-approved, you get a maximum amount to purchase a home. This does not mean you purchase a home at this price. Common sense says, look at your budget and purchase a home based on what you can afford on a monthly basis.
MYTH: Buying is always better than renting
FACT: We try to encourage home ownership but it is NOT always beneficial depending on your situation. If you do not know where you will be in 2 years, your job transfers you alot, your employment status is up in the air…buying may not be in your best interest. Generally, you want to live in a place for at least 5 years. There are always exceptions to the rule but generally, you do not want to incur debt if you have to leave and cannot find someone to rent your place at a higher price to cover your overhead.
To schedule a no obligation consultation with one of our agents, please contact us at Contact@MandrellCo.com
Real Estate in Boston is one of the best investments because Boston has a very strong market compared to other cities.
- Appreciation: Over time the value increases. There is a high demand for housing thanks to our educational institutions
- Debt Reduction: As the asset is appreciating, the debt associated with the home (mortgage) is being paid down over time and even faster with tenants.
- Cash Flow increases over time: Debt pay down combined with rent increases makes this an AMAZING option.
- Tax Benefits: You can write several things off for owning rental property. Everything you do is tax deductible
- Tangible Asset: We can see it, we can touch it. You have a visual and control over the asset.
For more reasons on why I love Boston Real Estate, please feel free to email me at Willie@MandrellCo.comRead more
Are you in the market to buy, rent or sell property in South Boston? Before you make a move, understanding the local market condition can make all the difference. We’ve outlined below exactly what’s happening with Single Family, Multifamily, Condos and Rentals in the area. All these number reflect what’s taken place over the last 6 months.
Single Family Listings
Total Homes SOLD: 16
Average Living Area by Square Feet: 1,490.13
Average Listing Price: $583,650
Average DOM (Days on Market): 60.81
Average Sales Price: $578,695
Total Condos SOLD: 230
Average Living Area by Square Feet: 1,103.45
Average Listing Price: $616,942
Average DOM (Days on Market): 46.42
Average Sales Price: $614,010
Total Multifamily Buildings SOLD: 22
Average Living Area by Square Feet: 3,068.77
Average Listing Price: $1,064,345
Average DOM (Days on Market): 34.45
Average Sales Price: $1,046,450
Average Rent for 1 Bedroom Units: $1,937
Average Rent for 2 Bedroom Units: $2,666
Average Rent for 3 Bedroom Units: $3,115
Average Rent for 4 Bedroom Units: $3,527
Want to get a FREE Sales and Rental Market Report for your specific area(s)? Just send a quick email to
Contact@MandrellCo.com to receive your monthly report. In the title put the words “FREE Boston Sales
Statistics” and in the body, add the up to 3 areas you’d like to receive data for. Your name and email will
be added to the next monthly reporting cycle. It’s that simple to stay up to date and ahead of the curve!
Please call us directly at 617-297-8641, for custom reports or questions above the data provided.