Record 1st Quarter for Condo Market
If you’re looking to purchase a luxury condominium in the heart of Boston, chances are you’re not alone.
The median price of a downtown condominium in Boston has reached an all-time high for the first quarter, rising to $537,000 for one unit, up 7% from last year’s first quarter when the median price was $500,000. In addition, the market saw sales increase, with 505 condos sold in the downtown neighborhoods, an 8.3% increase from the same period last year. This marks the highest first-quarter volume of sales since 2007.
Nearly every downtown neighborhood saw its condominiums increase in per-square-foot price. Back Bay reaffirmed its status as the most expensive place to live, with square foot prices rising nearly 20% to $888. Waterfront condos experienced the largest spike in square foot prices, rising over 30% to $718.
Debra Taylor, president of LINK (the Boston company that provides these statistics) sees multiple reasons for the prospering market, such as the lack of construction since the end of the recession, along with an improvement in Boston’s livability and infrastructure. “People want to live in Boston – and everything is gelling to drive up prices,” says Taylor.
A depleted inventory is another factor in the surging prices, as there is a lack of available condos. Boston’s booming condo market is a reflection of a revitalized housing industry, as more prospective buyers are competing with each other for less available homes, causing prices to rise to record numbers. (Boston Business Journal, Boston Globe)