Real Estate Values Today Compared to Pre-2008 Peak
This housing market has many people talking about home values; where they are and where they are headed. It’s also interesting to look back and see how home prices compare to values prior to the housing crisis.
Every quarter, Freddie Mac releases their House Price Index. The index usually provides monthly home values for:
the nation as a whole
each of the 50 states
367 metropolitan statistical areas
This quarter, the report also included a look at today’s home values as compared to Pre-2008 values. Following is a graphic that breaks down the numbers on a state-by-state basis.
Below is the Freddie Mac chart for Massachusetts, December 2000 to June 2016.
As a real estate professional and a Newton citizen I applaud the efforts of Mayor Setti Warren, Newton Alderman, other elected officials, community leaders, and residents who have partnered to present a strong call to action to improve services in our city and problem solve the housing crises. The Newton’s Mayor Setti Warren Housing Report is an off shoot of the primary report, Newton Leads 2040.
Historically, the City of Newton is a patchwork of diverse villages each with its own unique look and feel. The city in its entirety is approximately the 11th largest city in Massachusetts. The beauty of having the economies of scale that come with a large population combined with advantages of small neighborhoods defined by village centers has not come without a price. With so many sectors, it can be difficult to gain consensus on large developments, for example.
The Housing Problem
Because of shifting demographics along with rising home values, aging seniors and entry level home buyers, as well as moderate income sectors are being squeezed out of housing options due to lack of inventory.
The Housing Solution
Community leaders must work to gain buy-in from citizens for possible solutions. Please note: citizens include those builders who contribute to the fiscal health of our city.
Newton Leads 2040 Housing Strategy–The Data Speaks
Using data driven analysis, the report begins with a picture of where we are now. For example, the increase of older residents compared to the decline in the number of younger residents, a significant increase in the number of residents in the 55+ bracket.
13 Villages 1 Community
13 Villages 1 Community
Single family home prices have risen significantly since 2003. As of the date of the report 2016, the median selling price of a Newton single family home is $1.1M. There is a lack of housing stock for those looking to downsize, those first time home buyers seeking entry level housing, and those who work in the city. This extreme demand creates a demand that affects housing development patterns.
“Simply put, the scarcity of land in Newton is motivating the development community to maximize the lots they can acquire.” ~Newton Housing Strategy
The report makes a strong case for a change in the housing development strategy city wide. Rather than building more large houses for fewer people, Newton needs bridge the gap and promote the development of more smaller houses for the younger, older, and other diverse and growing sectors of our population.
Newton Leads 2040, a Blueprint to Promote Affordable Diverse housing & Economic Growth
The overarching study, Newton Leads 2040, is a data driven report covering broken into several categories of focus, such as Financial Sustainability, Excellence in Education, Economic Growth and Entrepreneurship, Public Safety, Environmental Sustainability, and more. Housing is a common thread throughout many of the major categories. Read the full report.
Livable Sustainable Newton
Newton Leads 2040 is a call to action for all in our community to partner with us and with one another to continue to make our education system, public safety, infrastructure, environment and city services the best they can be. Newton Leads 2040 will also promote partnership and engagement of residents and civic leaders to ensure we have affordable housing, diverse housing, multi-modal transportation, robust entrepreneurship and growth in the innovation economy that will meet the needs of our citizens over the next 25 years. ~www.NewtonMA.Gov
We can be grateful to the many community leaders who have the vision and drive to bring our city forward to a better future and survive the current housing crises.
The Greater Boston Area housing marketing is booming!
Sales prices in Newton, Brookline, and Cambridge have consistently appreciated over the past three years. This trend is reflected in the two graphs shown here, one for condos and the other for single family homes.
The three areas under discussion all have easy commuter access to Boston Proper as well as to the Longwood Medical Area, and many Boston centers of technology and research. In addition, they are chock full of amenities including outstanding dining, cultural and entertainment options. As a result, in the past few years, many buyers have had to compete in multiple offer situations for properties in these towns…even during the slower winter months.
Compiled from the Multiple Listing Service
Relocation buyers often struggle to comprehend the unique Boston housing market .Although they want and expect to get easy commutes (and the other amenities mentioned above), due to the strong prices in Boston, many have had to consider living further out and having a longer commute.
If you are moving to the Greater Boston area, an experienced Buyer’s Agent will help you be prepared and well postitioned to find the home of your dreams.
If you are thinking of selling your home, a well seasoned Realtor can help you maximize your marketing exposure and create a plan to ensure that you net the highest possible amount on your sale. Even in a strong seller’s market, sellers who have a good agent invariably net considerably more after paying the commission than sellers who sell without professional help.
Beautiful New Construction with Views of Crystal Lake!
Views of Crystal Lake from kitchen
Under agreement in 11 days! Who says the winter real estate market is dead? Granted, this home is extraordinary, has amazing water views, gracious design and layout, and stunning finish work. This home is a masterpiece for Northern Lights Development.
Circular driveway and two car garage are in the front. Enter a gracious foyer with living room and formal dining room with over-sized windows. The living space in the rear of the first floor offers open views of the lake. Beautiful white eat-in kitchen with thick stone counter tops, farmers sink with windows looking out to the lake, large stove with pot filler and white tiled wall. Enjoy four seasons in the great room with fireplace. On balmy days, step out to the terraced patio and enjoy the views.
Fireplace Great Room
It’s the little things in life. I dream of having a mudroom in my next house. The mudroom in this house is large and very pretty.
Master suite has a deck looking out to the lake. In addition, this is one of the most beautiful walk-in closets I’ve seen. This house has many more features not mentioned here. It’s not surprising it sold so fast.
Balcony Master Bedroom
This uptown Centre Street address is a fabulous location with easy access to Newton Center or Newton Highland s Public Transportation and to all major highways.
MLS # 71934278
Under Agreement in 11 days Listed at $2,395,000 11 rooms 5 bedrooms 5 full baths, 1 half bath Approx. Living Area 5,500 sq. ft. Approx. Lot size: 13,503 sq. ft
Listing agent is Ned Mahoney , Keller Williams Realty. If you would like a Buyer Agent’s assistance in finding similar homes, contact me at 617-797-9497 or email Janet@JanetPorcaro. By the way, I work ALL winter!
Moving to Brookline, MA Sold by Janet, Buyer’s Agent
This summer, I helped a family purchase this handsome single family home in the Baker School District in Brookline, MA. My clients moved to Boston from Florida to work in the Longwood Medical Area. Although the housing market is VERY different in Florida, my buyers were quick to get a feel for the Greater Boston Area real estate market and identified Brookline or Newton (preferably Brookline) to be their choice location for the new family home. It’s not easy finding a single family home in Brookline, MA especially this summer with thin housing inventory and a strong seller’s market. Brookline has so much to offer to with area amenities that include excellent schools, fabulous community and all round culture. The easy commute to the medical area and Boston Proper all contribute to the draw to Brookline. After the initial culture shock, my buyers were quickly prepared to move when the right property came to market. It takes a great team of professionals working with the Buyer Agent (in this case, moi) to identify the property, write up a powerful offer package, get the offer accepted, and then work the transaction to a happy closing table. Together we worked with my clients to find them a gracious home to begin their next chapter in Brookline, MA.
When you hear of someone looking to relocate to the Greater Boston Area, please call me. I promise to deliver my 5 STAR service!
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Just like our clocks this weekend in the majority of the country, the 2015 housing market will soon “spring forward”! Similar to the tension in a spring, the lack of inventory available for sale in the market right now is what is holding back the market. Many potential sellers believe that waiting until Spring is in their best interest, and traditionally they would have been right. Buyer demand has seasonality to it, which usually falls off in the winter months, especially in the Greater Boston Area. This year is different. 2015 Spring Housing Market Starts Early!
A seasonal cycle shifted
Demand for housing has remained strong and is currently three times stronger than last year at this time. The National Association of REALTORS (NAR) recently reported that the top 10 dates sellers listed their homes in 2014 all fell in April, May or June. Those who act quickly and list now could benefit greatly from additional exposure to buyers prior to a flood of more competition coming to market in the next few months.
If you are planning on selling your home in 2015, meet with Janet Porcaro, local real estate professional who specializes in the Great Boston Area housing market, to evaluate the opportunities in your market. Call Janet at 617-797-9497.