Single family home prices are on the rise in all three communities, however, multi family and condo prices are trending inconsistently. Multi family prices have flattened and slightly declined in the past year. Condo prices went up slightly in Newton and Brookline.
It is important to note that the value of multi-family units is linked to condo prices. Investors buy and convert multi family units to condos. If investors expect the rental market to decline, they are less likely to buy multi-family or condo units as the returns diminish. Still, in most Boston metro communities, condos are a less-expensive alternative compared to single family homes among first-time buyers. While this pushes condo prices slightly up, it is balanced by the reduced demand by investors.
Please reach out to me at Naomi@NaomiRealEstate.com or at (617) 721-5343.