There has been much discussion of late about just how well the Real Estate market has been performing in our home city of Boston. Much of it has to do with the variety of complementary industries that are also thriving. From our blog post regarding the surge in the high-tech industry, to another blog concerning the local banking boom, to yet a separate blog pointing out the success of our educational institutions, Boston has a great deal to be proud of.
How has our housing industry fared so noticeably better over the past few years since the economic downturn? Much of the reason is due to the aforementioned realities that the city is currently experiencing, all leading to the fact that our economy is also showing vast improvements, which we shared in a past blog post as well. Taken in an equational sense, all of these factors consequently have caused there to be a relentless pent-up demand for property in and around Boston. However, despite this positive fact, the frequency of properties coming on the market has decreased, thus resulting in a surplus of inventory. This low inventory yet high demand is the predicament we find ourselves facing today.
Is that necessarily a bad thing though? Not if you are a seller, that is for certain at least. There is such a longing need for property in the area as consumer confidence has risen to levels that have not been achieved in recent memory. Looking to specific areas throughout the city, the South End (which we mentioned in a recent blog was ranked as Bostons #1 neighborhood) has seen its housing inventory levels drop 50% from a year ago, this according to MLS PIN. Primarily, properties in the $500,000-$700,000 range have been highly sought after, and constantly homes are only on the market for a few days before they have multiple offers; often exceeding the original asking price.
Looking to Cambridge, inventory levels are also down as there are currently 42% less properties on the market than there were a year ago during this time. For Beacon Hill, there has been a 24% drop in available housing, and even in the West End of Boston at the Charles River Park location there are roughly 1,000 total condominiums although just a mere two of them currently available for sale. In addition, the West End is perhaps where this lower inventory has been the most prevalent, at least from the given data as there is a 63% decrease in the year-over-year statistics. Looking to the State of Massachusetts as a whole, there is still 14% less inventory than there was during this time in 2011.
Such a drastic change has shocked even the most seasoned of Real Estate agents such as our own Liz Healey of Gibson Sothebys International Realty. She was recently interviewed by the Boston Herald and this gracious honor led her to mimic all of the above as in the past few months five of her listings had an eventual accepted offer to purchase within the first few days or in a time period of about a week. While there have been no multiple offer situations, all the buyers came in quickly and strong and they were accepted pretty much within about 24 hours or so, she said. Each buyer made strong offers that were close to asking price. Overall, this is evidently becoming one of the best sellers markets across the nation.
Listing your property with an experienced agent backed by the superior marketing techniques and global reach of the Sothebys brand is what our roughly two hundred dedicated agents are prepared to do for you. In one of the most important decisions you will ever make in your life, selling a property whether it has been your lifelong home or just a vacation property is ever so crucial. With an experienced team and storied history of fifty years of success in The Greater Boston Area, we at Gibson Sothebys International Realty are here to put you as our clients first and deliver on our promise of continuous white glove service and the utmost professionalism.
More Information: Boston Herald