Here’s what you need to know about Boston real estate heading into Q4.
Many of you may have a good idea of what’s going on in the real estate market, but it’s always good to see it backed up by hard facts and numbers.
The first number I want to mention is something I was happy to see: The number of sales in Q3 of 2020 was nearly identical to the number of sales we saw in Q3 2019. We caught back up to where we were before the pandemic. People are still buying in the city, although it’s taking those homes and condos a little longer to sell. As far as closings are concerned, we also remained flat from Q3 2019 to Q3 2020. That’s good news.
A couple of records happened in the South End that I think you might find interesting. You can see them all starting at the 1:20 mark in the video above. The price per square foot in the South End hit a new record of $1,083, while the median sale price also hit a record of $1,172,500. In Charlestown, we had a record sales volume of $105,229,875, which was up 7% from the previous record.
We talk a lot about people wanting more space nowadays, and the numbers prove it. Realtor.com is reporting that prices in the Boston suburbs are up anywhere from 10% to 15% and things are selling much more quickly. Since that market has become so competitive, there are more and more people rethinking their decision to leave the city for the suburbs.
As far as the luxury market goes, the slowdown continues. The number of sales in luxury buildings is down a whopping 19%. This won’t last forever, so if you are looking to buy a luxury property, now might be the perfect time to get a deal.
Another property I like to talk about is One Dalton, which is what I like to call an “ultra-luxury” building where it’s half hotel and half condos. We’re up to about 71% of the units sold with an average sale price of over $6 million.
For Winthrop Square, which is another huge project, they’ve decided to scale back a bit from 400 units to about 320 units and convert them from condos to rentals in order to save costs. They have received financing from financiers in Kuwait so they’re ready to move forward.
Things are still soft in the rental market. Landlords are still paying fees, and reductions in inventory are happening.
This was a very high-level look at the Q3 real estate market. If you have any specific questions or stats you want more context on, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.