The Boston condo real estate market is very competitive right now. I’m hearing stories among my real estate colleagues of crazy multiple-offer situations — three offers here, another five offers there. Unless you’re a buyer with all cash who can move quickly, you may be writing offers on a routine basis and hoping that a Boston condo seller accepts one of them.
Why is this all happening? Some of these properties basically have it all, from a popular location to a remodeled interior. But some are just run-of-the-mill condominiums priced well, but probably wouldn’t be getting that much attention were it not for the lack of inventory in Boston right now.
As stated in one of my earlier blogs every downtown Boston neighborhood has very low inventory and in some popular neighborhoods under 10 listings, which isn’t many when you consider how many qualified buyers there are in Boston. To give you an example I have a showing today with very qualified buyer in the West End, she was surprised that there was only 1 listing priced under half million dollars. When you have so few properties available and such high demand, it’s a perfect storm for groups of buyers to converge on a handful of condominiums.
When you start breaking those numbers down by price and amenities, the inventory shrinks further. Need parking? That’s very hard if you can’t afford the Boston luxury condo market. Can only afford up to $1,000,000? Out of the 226 downtown Boston condos for sale only 109 are under $1,000,000.
The good news is that I believe many homeowners will be motivated to sell in the spring. That’s typically the time of year that inventory spikes. One look at sales from the first quarter will convince potential sellers to take advantage of the market.
If you’re a buyer, hang tight. Keep writing the best offers that you can write, and be as flexible as possible when it comes to your preferences and neighborhoods. I’ve been selling real estate for 15 years, and have experienced the various market cycles. Eventually the Boston condo inventory market will come back. The big question how long will it take?
If you’re in the market to purchase a Boston property, please keep us in mind. And if you’re working with a Boston real estate agent and she tells you there’s nothing new on the market, don’t get upset with her, she telling you the truth. Hang in there