So, Boston.com has a real estate blog called The Boston Real Estate Blog Boston Real Estate Now.

Here, blogger Rona Fishman, a real estate agent, wonders aloud about the Commonwealth’s hot real estate market of the past several years:

[T]hree or four years ago when median price passed median affordability, demand did not decline; it increased.

I have been scratching my head over the “why� of this for years now. Here are some of the reasons: people really want to live here and will do extraordinary things to make that so. Some have inheritance and gift money. Some drew money from savings or retirement. Many drew money out of the stock market just before or during the crash of the “Dot.com� market.

A commenter had an especially tasty response:

Are you serious? You don’t understand why prices went so far out of line with incomes over the last few years? Simple – cheap, easy money. Hand half a million dollars to a financially illiterate consumer with a credit score under 600, no down and an annual household income of $50,000 and of course he will go out and spend every dime regardless of ability to repay the loan or not. Of course people will continue to buy – even in Japan where prices fell for 15 years there were still transactions. But to assume this minuscule demand, compared to the mania of the last few years, will keep these prices so out of whack with underlying incomes and rents, is ridiculous.

I have no doubts you are not alarmed at the decline we are seeing. But the people starting to lose their homes in huge numbers are. My sole hope is that they will be able at some point to sue realtors for giving financial advice without a license, something no investment advisor can do. Keep telling your clients that real estate is a great deal and that at most they will only see small temporary declines. I am sure the commission you receive is well worth the lives that get destroyed by the pseudo economic science you spin. And if you think I sound angry, maybe it’s because of the four families I’ve already seen go through foreclosure – three of whom had realtors swear that real estate only goes up. It is sad that this profession is now below used car salesman on the trust scale.

Dude, lay off the sauce.

Source: So Few Can Buy, Won’t Prices Go Down? – By Rona Fischman, Boston Real Estate Now

Back to Boston condos for sale homepage

Contact me to find out more about Boston condos for sale or to set up an appointment call/text 617-595-3712.

Boston condos

Boston condos for sale

SEARCH FOR CONDOS FOR SALE AND RENTALS

For more information please contact one of our on-call agents at 617-595-3712.

Updated:  1st Q 2018

Author Profile

John Ford
John Ford
EXPERIENCE

Over the course of 20 years in the Boston downtown real estate market, John represented and sold numerous, condominiums, investment and development properties in Greater Boston and in the surrounding suburbs



In addition to representing Boston condo buyers and sellers, John is currently one of the most recognized Boston condo blog writers regarding Boston condominiums and residential real estate markets. John's insights and observations about the Boston condo market have been seen in a wide variety of the most established local & national media outlets including; Banker and Tradesman, Boston Magazine The Boston Globe, The Boston Herald and NewsWeek and Fortune magazine, among others.



HISTORY

For over 24 years, John Ford, of Ford Realty Inc., has been actively involved in the real estate industry. He started his career in commercial real estate with a national firm Spaulding & Slye and quickly realized that he had a passion for residential properties. In 1999, John entered the residential real estate market, and in 2000 John Started his own firm Ford Realty Inc. As a broker, his clients have come to love his fun, vivacious, and friendly attitude. He prides himself on bringing honesty and integrity to the entire home buying and selling process. In addition to helping buyers and sellers, he also works with rental clients. Whether you’re looking to purchase a new Boston condo or rent an apartment, you’ll quickly learn why John has a 97% closing rate.

AREAS COVERED

Back Bay

Beacon Hill

Charles River Park

Downtown/Midtown

North End

South End

Seaport District

South Boston

Waterfront

Brookline

Surrounding Communities of Boston
Contact
John Ford and his staff can be reached at 617-595-3712 or 617-720-5454. Please feel free to stop by John's Boston Beacon Hill office located at 137 Charles Street.




John Ford
Ford Realty Inc
137 Charles Street
Boston, Ma 02114

Comments

comments

Call Now