Boston Real Estate Market Review | 2013

Can you believe there are less than three weeks remaining until we ring in 2014? As we wrap up 2013 and start making predictions for the upcoming year, I’d like to go over a few housing trends that stood out over the past 12 months. Whether you decided to buy a home or sell your home in Boston this year, you likely took notice of a few prominent themes in the Boston real estate market. Here’s a look at the most significant trends in real estate from 2013.

1. Mortgage rates remained near record lowsThose who decided to buy a home in Boston this year were met with affordable interest rates. Although they increased quite significantly in late spring, the average is still below 5% going into the New Year.

2. Low inventory resulted in bidding warsPickings were slim in the Boston real estate market in 2013. A combination of low inventory, low mortgage rates and rising home prices led to the return of bidding wars between hopeful homebuyers.

3. Cash buyers remained prevalent Lawrence Yun, chief economist of the National Association of REALTORS® reported that one third of all home purchases in 2013 were made with cash. Furthermore, Buffini and Company noted that 19 percent of winter buyers plan to pay for their new homes with cash going into 2014.

4. Home prices increased more quickly than anticipatedAccording to Trulia.com, the median sales price for all properties in the Boston real estate market is $439,000, up from $389,450 at this time last year. That’s a 12.7% increase year-over-year, which has been great news for homeowners.

5. Rising rents created an influx in first-time homebuyersIt’s no secret that rental prices are rising faster than home prices. Many renters have had enough, and are more motivated than ever to buy a home in Boston and start building equity.

2013 has been a strong year for the housing recovery. If you decided to buy a home in Boston, you were probably involved in a bidding war, but were fortunate enough to receive a very low mortgage rate. Homeowners who sold a property this year saw their home values appreciate, and likely received an offer or two above asking price. As we move into 2014, the housing market is predicted to strengthen even more. If you need any assistance as you navigate the Boston real estate market, please contact me! I’d be happy to help make your dream of homeownership come true. 

Ken Snyder
Keller Williams Realty Boston-Metro
Visit My Website
See Homes for Sale in Boston
Connect with Me: Facebook | Twitter | Linkedin
Contact Me