Is good news coming for first-time Boston condo buyers?
Could the spring market bring good news for Massachusetts first-time homebuyers?
As the spring market approaches, declines in median sales and inventory could mean good things for first-time homebuyers, according to a new Massachusetts Association of Realtors report.
The market’s busy Boston condo for sale season is almost here and is expected to bring more inventory, good news considering February didn’t give first-time homebuyers much of a chance.
National Association of REALTORS® Chief Economist Lawrence Yun said a majority of the current and prospective housing supply is at the higher-priced end of the market. First-time homebuyers looking at properties on the lower end of the market are often out-bid due to the shortage of starter homes and high demand.
NAR says rising rates are what’s rushing buyers to make a move in the hopes of locking in rates before they rise again.
“While we’ve seen a decline in new listings this winter, the busy spring season will undoubtedly bring more inventory and a slowdown in median price, which could open up the market for first-time homebuyers,” said Dawn Ruffini, 2022 president of MAR and Realtor at RE/MAX Connections. “Spring is also when new construction starts to come online, supplementing the existing inventory.”
Condominium prices also rose in February, to $446,750, up 4.1% from 2021, but dropped from January’s $450,000. Similar to single-family home listings, condominium listings fell 6.3% compared to last year.
The report also found single-family closed sales fell 16.3% compared to last year, while closed condo sales dropped 15.9%.