The good news thus far is that the Boston condo market looks strong. But we have some ominous clouds in the horizon. Take for example, overall homes sales nationally are down 3.8% this year. Interest rates went from 4.3% in January 2018 to 4.64% as of March 6, 2018, and that’s a rise in a really short period of time. We haven’t seen interest rates this high since 2012. In 2012 Boston condo prices were about 40% lower on average.

With interest rates up, prices up, something has to give. In the last year home sales are down as follows:

  • Northeast -12.8%
  • Midwest -4.1%
  • South -1.1%
  • West -2.5%
  • Overall home sales down 3.8%

Conclusion: With interest rates pushing 5% and with mortgage origination on a downward slide, Boston condo sales prices will eventually come down. I’m not trying to be an alarmist nor are we going to see a “bubble crash.”  Boston condo prices will likely will move very slowly downward because homeowners are looking at a robust economy right now and they are having a hard time reconciling lower home values with the current economy. This in return will prolong home values from coming down in the near future.

Who are today’s Boston condo buyers? And how are they finding the Boston condos they purchase? According to the National Association of Realtors, survey of homebuyers:

  • 51% found the Boston condo they wanted to buy in the internet.
  • 34% fond their home via Boston real estate agent.
  • 8% social media and street signs
  • 4% friend
  • 2% Boston condo builder
  • 1% directly from the seller
  • 1% printed newspaper

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

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