2026 Boston condo for sale predictions

South Boston Condos for Sale and Apartments for Rent

2026 Boston condo for sale predictions

There will likely be an increase in the number of Boston condos for sale in 2026 – on top of the hundreds of unsold that rollover from 2025. In 2025 overpriced listings just got ignored and buyers took a minor discount for the least desirable downtown Boston condos for sale.

I’m guessing that the surging inventory will have a more profound impact next year. Boston condo sellers will slightly-discount, buyers will demand a bigger discount in 2026 – and instead of sellers getting lucky, the deals will become harder to make

It’s only a theory, but it’s plausible that the Boston condo sellers will have a harder time selling next year as the market is flooded with new inventory and buyers gain more negotiating power. Instead of taking a tiny discount, they will just say no.

2026 Boston condo for sale predictions

While it would be easy to give up on the market for the rest of 2025, these lower rates (jumbo rates in the high-5s) are inspiring buyers to stick around to see what happens! It should make for a good springboard into the new year, because the buyers who would have normally checked out at the end of summer won’t have to wait to get their chops up in January – they will be ready to go!

I think the pricing trend will still be slightly negative for the rest of the year but come January the sellers will have a renewed faith in their price being right just because it’s a new year.

2026 Boston condo for sale predictions

In 2026, the Boston real estate market is expected to remain resilient, buoyed by the region’s strong local economy in the technology, education, and health sectors. This trend contrasts with some national markets that may see price declines. While affordability will remain a challenge due to high prices, more balanced conditions are likely, with modest home price increases and a slight rise in inventory.

Price and inventory trends

Modest price growth: Unlike the market volatility seen during the pandemic, Boston is expected to see modest, single-digit home price appreciation in 2026. In its August 2025 forecast, Zillow projected that the nearby metro area of Hartford, Connecticut, would see a 4.1% increase between August 2025 and August 2026, a forecast that is indicative of the Northeast’s resilience.
Limited but increasing inventory: Housing inventory is projected to increase modestly, offering buyers more options than in previous years. However, the number of homes for sale will likely remain below pre-2020 levels, so the market will not be flooded with options.
Affordability challenges persist: Despite the more balanced conditions, housing affordability in the Boston metropolitan area will continue to be a significant challenge due to high home prices. This issue is particularly acute for low-to-moderate-income (LMI) buyers.

Factors influencing the 2026 market

Resilient local economy: Boston’s economy, supported by the booming tech and biotech industries, top-tier universities, and medical institutions, attracts highly skilled professionals and maintains strong housing demand.
Higher mortgage rates: Mortgage rates are expected to remain elevated, likely hovering around 6% in 2026. This “higher-for-longer” rate environment will continue to impact affordability, keeping some buyers on the sidelines.
Increased construction and refinancing: Mortgage originations in Boston are forecasted to increase, driven by both higher home prices and a rise in refinancing activity.
Renter demand remains strong: With high homebuying costs, demand for rentals is projected to stay robust. After absorbing a period of oversupply from new construction, the rental market could see lower vacancy rates and accelerating rent growth in 2026 and 2027

Implications for buyers and sellers

For buyers:

The market conditions are improving slightly compared to the peak of post-pandemic competition.
You may have more bargaining power and a better chance to negotiate prices below the asking price, especially for homes that require upgrades.
The slight increase in inventory offers more choices. Focus on the total cost of ownership and look for refinancing opportunities if rates trend lower in the future.

For sellers:

The market is still favorable for sellers, but competition is easing, and you may receive less aggressive offers compared to recent years.
Well-priced, move-in-ready homes are likely to sell quickly, but you may need to offer concessions like rate buydowns or credits to attract buyers.
Waiting to sell could expose you to higher competition as more inventories comes onto the market later in 2026.