Boston condos for sale prices have been on the rise for the last decade, leading many housing market analysts to conclude that first-time homebuyers are being shut out of the market due to affordability concerns. But the Boston real estate for sale market has changed in the last few months.
From National Association of Realtors
Mr. Yun. economist for NAR states:
Record-low mortgage rates are likely to remain in place for the rest of 2020 and will be the key factor driving housing demand as state economies steadily reopen, Still, more listings and increased home construction will be needed to tame price growth.
Boston Real Estate and First Time Home Buyers
One positive sign? First-time buyers don’t seem to be deterred by COVID-19 concerns. If anything, the data shows that demographic is slowly but surely entering the market, perhaps realizing that this might be their opportunity. First-time homebuyers were responsible for 36% of sales in April, up from 34% last month, and 32% in April 2019.
Is there a decline in Boston Condos?
Yet another trend that seems to be emerging from the coronavirus fallout is declining interest in condominiums. Existing condominium and co-op sales in April were down 26.4% from March, and 31.6% year over year.
More from the National Association of Realtors
“There appears to be a shift in preference for single-family homes over condominium dwellings,” Yun said. “This trend could be long-lasting as remote work and larger housing needs will become widely prevalent even after we emerge from this pandemic.”
So, what does this all mean?
First-time home buyers have not disappeared from the market as many analysts had believed. Buying a home is very much a part of the American Dream for younger generations, just like it had been for their parents and grandparents.
This also means that rising prices have COVID -19 hasn’t scared buyers away from the market. Many first-time buyers are making sacrifices to save their down payment and make their dream a reality.
Boston Real Estate for Sale and the Bottom Line
If you are one of the many Beacon Hill apartment renters who are scrolling through listings on your laptop every night dreaming of buying your own piece of Boston real estate, to call your own, there are opportunities in every market to make that dream a reality!