Boston condos for sale: What’s the deal with mortgage rates?
Boston condo mortgage rates are heading for 7% again, which is shocking, given it was 5.99% on Feb. 2. 2023.
Higher rates will discourage both Boston condo buyers and sellers, and make them want to wait for a “better market” some day in the future. Whether that day will come isn’t considered – all they know is that it isn’t today.
It should mean that the Boston condo market will be cleared of any casualness, and only the highly motivated buyers and sellers will be engaging. I feel Boston condo buyers will be more picky, and sellers will need to be sharp on pricing.
It will be different in each Boston neighborhood.
Mortgage interest rates will likely go down a little more but I don’t think we are going to see rates below 5% any time soon.
Condominium prices in the Boston metro area are not falling but rising much more slowly. This time of year, Boston condo sales are traditionally slow and I suspect this will continue through the first month of 2023.
The slightly lower interest rates make Boston condos for sale just a little more affordable. Mortgage interest rates reached a 20-year high last October.
In other news, rents have been stable as far monthly rents after going up last spring and summer.
Updated: Boston Real Estate Blog 2022/2023
Mortgages rates have found another record low, potentially boosting a housing market that has been a bright spot for a shaky U.S. economy.
The average for a 30-year fixed loan fell to 2.88 percent, the lowest in nearly 50 years of record-keeping by Freddie Mac. It was the eighth time since the coronavirus started roiling financial markets that rates have dropped to a new low.
Boston Job Market
As of now, the Boston job market is very strong and the metro region has expanded economically and we are continuing to see an increase in population as Boston is still one of the places people are moving to for a better lifestyle. That means the region is continuing to see higher demands for Boston condos for sale. The problem is that prices are on the rise so much it’s pricing out buyers.
While we do not know exactly what the rest of 2020 will look like, this lowering mortgage rate has been a spark of optimism in our Boston housing market for both sellers and buyers. If you have been thinking about buying a Boston condo for sale in 2020, you should move rather quickly this year and take advantage of this window of opportunity. The only problem is the low amount of supplies at the moment because we are still in the COVID-19 market. If you do see some places that you like that are currently for sale, please talk to me. I have helped a lot of homebuyers in the Boston downtown condo market.