Local real estate markets have been sorting out the effects of the pandemic and changing buyer preferences for the new rules of living and work agreements.
Entry-level buyers and downsizers continue to drive demand for condos in a variety of eastern Massachusetts markets. Banker & Tradesman analyzed transaction data from active condominium markets in eastern Massachusetts to compare 2019 prices with the first five months of 2021. The fastest-growing areas include former mill towns, a Boston neighborhood that’s emerging as a hot condo market, a North Shore suburb and a gateway to the South Shore that’s in the midst of a multifamily development boom.
Roxbury
2019: $452,000
2021: $657,450
Change: 45 percent
A history of redlining restricted home ownership opportunities for Black residents in Roxbury for decades, and the neighborhood’s housing stock remains dominated by rental apartments. Condo developments are starting to emerge near Nubian Square, adding to the options for condo buyers who historically looked to the Fort Hill section as well as Egleston Square near Jamaica Plain, said Melony Swasey, leader of the Good Boston Living team for Unlimited Sotheby’s International Realty in Jamaica Plain.
“You have sections of Roxbury where people have owned condos or single-family homes for 30 years, and that’s very different than Jamaica Plain where people on average are selling their condos every five or seven years,” Swasey said.
Commercial developers are planning a series of ambitious mixed-use projects including offices, life science labs, a food hall and performing arts space in Nubian Square, bringing more attention to the neighborhood.
That appears to have benefited nearby new construction such as Madison Park Development Corp.’s 16-unit 2451 Washington St., where market-rate units are listed for over $500 per square foot.
The neighborhood’s condo market is expected to expand as the city of Boston seeks to spur homeownership in Roxbury through sales of surplus properties to developers that include condos in multifamily projects.
“People are looking for alternatives to the competition in Jamaica Plain and they can get more for their money in Roxbury,” Swasey said.
What you can buy for $620,000: 10 Taber St. features concierge service in a newly-completed 6-story, 45-unit building overlooking Nubian Square. A corner two-bedroom unit with 9-foot ceilings, open-concept layout and oak flooring that was listed at $620,000 is currently under agreement.
Amesbury
2019: $255,000
2021: $350,000
Change: 37 percent
Crosswalks freshly painted with colorful murals are the newest expression of downtown Amesbury’s artsy, walkable environment. The former mill town on the Merrimack River has reinvented itself as an affordable alternative to Newburyport with similar architecture and retail offerings.
“People are getting priced out of Newburyport, and our downtown has come a long way,” said Erica Puorro, owner of Amesbury-based Stone Ridge Properties.
Whereas vacant downtown storefronts used to be common, today locally-owned shops, restaurants and brewpubs fill the heart of the town center.
Former mills and factories have been converted into loft condos, and Amesbury prices have historically offered discounts to surrounding towns. But the bargains are starting to become scarce in the past two years, with median prices rising 37 percent.
“We’re still seeing a lack of inventory, so prices are increasing for sure,” Puorro said. “As long as it’s priced appropriately, they are going in the first week or so of being on the market.”
What you can buy for $359,000: The Lofts at Clark’s Pond is a 42-unit condo complex at 15 Cedar St. featuring cherry wood floors, wood beam ceilings and exposed brick walls in a turn-of-the-20th-century mill building. A one-bedroom, 879-square-foot unit is currently listed for $359,000.
Fall River
2019: $165,000
2021: $219,000
Change: 33 percent
Fall River has been a haven for first-time homebuyers in Bristol County with limited budgets and continues to offer affordability despite its recent 33 percent bump in median condo prices.
“Our area has been known in prior cycles where we have more affordable housing, but over the last year or so we’ve seen our market become a little more competitive with the Boston area,” said Cliff Ponte, operating principal at Keller Williams South Watuppa.
Ponte, who is also the Fall River City Council president and a recently-announced candidate for mayor, attributes that to anticipation of the MBTA South Coast commuter rail project, adding service between Fall River and Boston’s South Station as soon as 2023.
“It’s going to have a big impact, just as there was a boom in Brockton when they brought in commuter rail, and they’ve maintained the stronger values,” Ponte said.
Inventory for both condos and single-family home listings has shrunk during the pandemic, Ponte noted, but the October expiration of Massachusetts’ foreclosure moratorium is starting to inject more liquidity into the market.
What you can buy for $230,000: A two-unit condo listed for $230,000 at 26 Chaloner St. in the Lower Highlands neighborhood includes three bedrooms and a one-car car garage. The listing offers the option of combining the purchase with the connected unit, which is listed at $240,000.
Quincy
2019: $360,000
2021: $475,000
Change: 32 percent
The City of Presidents has been making headlines for its recent apartment-building boom near MBTA stations from North Quincy to Quincy Center.
The transformation of the downtown into a 24-7 community appears to be spilling over with benefits for the for-sale condo market, which has seen a recent 32 percent increase in prices.
Beaches, rapid transit service and an improving business district are helping Quincy stand out despite the lack of major new condo construction.
“A lot of the big historic homes that people were renting out are being turned into condos, and they’re actually revitalizing neighborhoods that were kind of downtrodden,” said Juliann Flavin, a broker at Quincy-based Flavin & Flavin.
Median condo prices are in the mid-$400,000 range and provide an option for buyers looking for well-maintained two-bedroom units, Flavin said.
What you can buy for $449,000: A 980-square-foot studio loft at 1022 Hancock St. offers open floor plans, exposed brick and two parking spaces. The former middle school building was converted into condos in 2017 and features high-end touches such as quartz counters. Real Living Coastal Real Estate lists the unit at $449,000.
Reading
2019: $401,250
2021: $527,950
Change: 32 percent
Transit-oriented development is changing downtown Reading with completion of The Postmark, a redevelopment of a former post office property into 50 condos located two blocks from the town’s commuter rail station.
Other recent developments such as the Johnson Woods townhouses have been a success because they offer single-family-home-sized living spaces without the maintenance responsibilities, said John Turnullo, team leader at Leading Edge Real Estate in Reading. The development includes large townhomes such as three-bedroom units spanning 3,400 square feet.
“There are a lot of people out there who say they want to downsize, but they’re not ready. What they’re looking for is to leave the maintenance part of it,” Turnullo said.
The town’s central location near the junction of Interstates 93 and 95 is a draw for Boston commuters, Turnullo said. The new Postmark offers the option of a 32-minute rail commute to North Station.
What you can buy for $559,000: A renovated corner unit at 52 Sanborn St. in a converted school house was recently renovated with new floors, kitchen and baths and lighting fixtures.
