Categories
general info trends

Southie Leads Development Boom

Another great post by Scott.

 

Southie Leads Boston’s Development

 

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Flickr Creative Commons

 

By Scott Van Voorhis

 

 

 

Sure, Back Bay and Downtown Crossing may have all the new towers, but when it comes to overall development activity, South Boston is arguably the epicenter of the city’s development boom.

Southie currently has 42 projects either in the planning or approval stage, under construction, or recently opened. Most feature or include new apartment rentals, townhomes, or condos, according to the Boston Redevelopment Authority’s map of the Hub’s development scene.

The developments range from converted churches to brand spanking new buildings. The luxury West Square development at 320 D Street, which is still under construction, includes 259 apartments and 143 parking spaces.

If you throw in another 22 projects happening in the South Boston Waterfront, including the multibillion-dollar Seaport Square development , the number rises to 64 – three times or more than any other city neighborhood.

Not that super hot neighborhoods like the Back Bay (11 projects) and South End (19 projects), are any slouches either.

Back Bay and neighboring Downtown include plans for the three poshest and tallest towers even built in Boston: one still in the planning in Copley Square, and construction underway at the 61-story Four Seasons Tower and the 60-storyMillennium Tower.

“There has been a big shift in our city,” said Tracy Campion of Campion & Co., the brokerage in charge of the building’s sales. “Back Bay and Beacon Hill are bursting out of their seams.”

Other neighborhoods are also seeing a big surge in development.

East Boston may now be one of the hottest new neighborhoods in terms of big projects outside of South Boston.

A trio of grand waterfront developments is in the works for the neighborhood’s once hardscrabble waterfront, including 400 new apartments and condos at Clippership Wharf.

Charlestown’s real estate market heated up a couple decades ago, much like Eastie’s is doing now. The Charlestown boom continues, with plans for 85 new residential units and public space on the first floor at Pier 5.

Fenway is another neighborhood in the middle of a dramatic transformation, from a gritty student alcove to one of the more exciting places to live in the city.

With building sites scarce in the densely packed neighborhood, developers are pushing to span the Massachusetts Turnpike with ambitious air-rights projects.

Developer John Rosenthal is lining up financing for Fenway Center , a $550 million apartment and retail project proposed for an air-rights platform over the Massachusetts Turnpike by Fenway. Plans for Parcel 7 air-rights include a seven-story residential building and a 22-story residential and office tower.

Near the Hynes Convention Center and the Berklee College of Music, New York-based Peebles Corp. is pushing plans for a $330 million air-rights project at Parcel 13, including 88 condos, a hotel and shops.

Often overlooked, Dorchester now has 20 major projects in the works, including a proposal for for 275 residential units and 143 parking spaces at 25 Morrissey Boulevard by the JFK/UMass T station, while St. Kevin’s redevelopment, now underway, features 80 affordable units.

Brighton has 21, including 1505 Commonwealth Ave., a proposal to convert an office building into 85 residential units. Allston’s 15 projects include a new proposal for 87 apartments, ground floor retail, and 66 parking spaces at 37-43 North Beacon Street.

Meanwhile, Roxbury has 20 big projects in the pipeline, a number that includes 102 residential units in two buildings in the first phase of Bartlett Place , along with 16,839 square feet of commercial space and a garage with 130 spaces. When the build out is complete, the entire development will have 323 residences.

Last but not least, Jamaica Plain has 16 new projects, including The Commons at Forest Hills Station, which calls for 283 new residential units at the former Hughes Oil site. Demolition work began last fall.

Categories
style trends

Ten Hot Housing Trends For 2015

Below is a great post by Mike Wheatley of RealtyBiz. Emerging trends include specialized storage, charging stations, porcelain floors, quartzite counters and more – an interesting rundown on design trends we will see in 2015.

 Ten Hot Trends For 2015

This time of the year, we hear from just about every sector of the economy what’s expected to be popular in the coming year. Foodies with their fingers on the pulse of the restaurant industry and hot TV chefs will tell us to say goodbye to beet-and-goat cheese salad and hello roasted cauliflower, and there’s no end to the gadgets touted as the next big thing.

In real estate, however, trends typically come slowly, often well after they appear in commercial spaces and fashion. And though they may entice buyers and sellers, remind them that trends are just that—a change in direction that may captivate, go mainstream, then disappear (though some will gain momentum and remain as classics). Which way they’ll go is hard to predict, but here are a few trends that experts expect to draw great appeal this year

Coral shades

A blast of a new color is often the easiest change for sellers to make, offering the biggest bang for their buck. Sherwin-Williams says Coral Reef (#6606) is 2015’s color of the year because it reflects the country’s optimism about the future. “We have a brighter outlook now that we’re out of the recession. But this isn’t a bravado color; it’s more youthful, yet still sophisticated,” says Jackie Jordan, the company’s director of color marketing. She suggests using it outside or on an accent wall. Pair it with crisp white, gray, or similar saturations of lilac, green, and violet.

Open spaces go mainstream

An open floor plan may feel like old hat, but it’s becoming a wish beyond the young hipster demographic, so you’ll increasingly see this layout in traditional condo buildings and single-family suburban homes in 2015. The reason? After the kitchen became the home’s hub, the next step was to remove all walls for greater togetherness. Design experts at Nurzia Construction Corp. recommend going a step further and adding windows to better meld indoors and outdoors.

Off-the-shelf plans

Buyers who don’t want to spend time or money for a custom house have another option. House plan companies offer myriad blueprints to modify for site, code, budget, and climate conditions, says James Roche, whose Houseplans.com firm has 40,000 choices. There are lots of companies to consider, but the best bets are ones that are updating layouts for today’s wish lists—open-plan living, multiple master suites, greater energy efficiency, and smaller footprints for downsizers (in fact, Roche says, their plans’ average now is 2,300 square feet, versus 3,500 a few years ago). Many builders will accept these outsiders’ plans, though they may charge to adapt them

Freestanding tubs

Freestanding tubs may conjure images of Victorian-era opulence, but the newest iteration from companies like Kohler shows a cool sculptural hand. One caveat: Some may find it hard to climb in and out. These tubs complement other bathroom trends: open wall niches and single wash basins, since two people rarely use the room simultaneously.

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photo credit: Rev Stan via photopin cc

Quartzite

While granite still appeals, quartzite is becoming the new hot contender, thanks to its reputation as a natural stone that’s virtually indestructible. It also more closely resembles the most luxe classic—marble—without the drawbacks of staining easily. Quartzite is moving ahead of last year’s favorite, quartz, which is also tough but is manmade.

Porcelain floors

If you’re going to go with imitation wood, porcelain will be your 2015 go-to. It’s less expensive and wears as well as or better than the real thing, says architect Stephen Alton. Porcelain can be found in traditional small tiles or long, linear planks. It’s also available in numerous colors and textures, including popular one-color combos with slight variations for a hint of differentiation. Good places to use this material are high-traffic rooms, hallways, and areas exposed to moisture.

Almost Jetson-ready

Prices have come down for technologies such as web-controlled security cameras and motion sensors for pets. Newer models are also easier to install and operate since many are powered by batteries, rather than requiring an electrician to rewire an entire house, says Bob Cooper at Zonoff, which offers a software platform that allows multiple smart devices to communicate with each other. “You no longer have to worry about different standards,” Cooper says.

Charging stations

With the size of electronic devices shrinking and the proliferation of Wi-Fi, demand for large desks and separate home office is waning. However, home owners still need a dedicated space for charging devices, and the most popular locations are a corner of a kitchen, entrance from the garage, and the mud room. In some two-story Lexington Homes plans, a niche is set aside on a landing everyone passes by daily.

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photo credit: the tartanpodcast via photopin cc

Wellness systems

Builders are now addressing environmental and health concerns with holistic solutions, such as heat recovery ventilation systems that filter air continuously and use little energy, says real estate developer Gregory Malin of Troon Pacific. Other new ways to improve healthfulness include lighting systems that utilize sunshine, swimming pools that eschew chlorine and salt by featuring a second adjacent pool with plants and gravel that cleanse water, and edible gardens starring ingredients such as curly blue kale.

Special storage

The new buzzword is “specialized storage,” placed right where it’s needed. “Home owners want everything to have its place,” says designer Jennifer Adams. More home owners are increasingly willing to pare the dimensions of a second or third bedroom in order to gain a suitably sized walk-in closet in their master bedroom, Alton says. In a kitchen, it may mean a “super pantry”—a butler’s pantry on steroids with prep space, open storage, secondary appliances, and even a room for wrapping gifts. “It minimizes clutter in the main kitchen,” says architect Fred Wilson of Morgante-Wilson.

Categories
trends

Real Estate Trends That Defined 2014

Below is an rundown of real estate trends we saw in 2014 and a look forward to what we might see in 2015. This post provides a terrific national overview that is meaningful for our local markets as well.

The year 2014 saw a steady build-up of housing momentum that is expected to carry the market into 2015 gains, according to a realtor.com® report released today.

The 2014 Housing Review points to significant improvements in the U.S. economy overall and low mortgage rates as fueling the housing market. However, there are also factors that continue to hold back a recovery, including tight credit restrictions and a limited supply of homes for sale.

“The strong outlook for 2015 is based in part on the improvements and momentum experienced by the economy and housing in the second half of 2014,” said Jonathan Smoke, realtor.com®’s chief economist. “With several key factors turning strongly positive, 2014 was a turning point and sets the stage for a stronger recovery in 2015.”

Here are the top 10 trends of the past year, with five indications of growth and five limiting factors.

Realtor.com®’s Top 10 Real Estate Trends of 2014

Indicators of a stronger housing recovery

1. Improving economic fundamentals: After an especially harsh winter, the economy picked up steam this spring and produced a banner year for new jobs. The GDP this year was higher and is still trending higher, resulting in stronger consumer confidence.

2. Historically low mortgage rates continued: Mortgage rates declined despite the end this year of quantitative easing, a monetary policy intended to stimulate the economy. Global weakness, along with actions by the European Central Bank and central banks in Asia, kept our Federal Reserve from raising the Federal Fund Rate, which kept mortgage rates low.

3. Return to normal price appreciation: After two years of abnormally high levels of home price appreciation in 2012 and 2013, price increases moderated throughout 2014. We are now experiencing increases in home prices consistent with long-term historical performance.

4. Decline of distressed sales: Foreclosures and short sales declined throughout the year, and while total home sales decreased year over year, normal (non-distressed) home sales increased over 2013. Foreclosure inventories also fell substantially and are forecasted to be down 30% year over year at the close of 2014.

5. End of the era of major investors active in purchases: Related to the drop in distressed sales opportunities, and against a backdrop of higher home prices, portfolios of single-family homes for rent may have reached their peak this year. Large-scale investor purchase activity in the single-family market sector continued to decline, leaving more room for traditional first-time buyers.

However, we still have a ways to go back to normality.

“Despite the positives, several factors were far from normal this year,” Smoke said. “The limiting factors held back demand and even supply in 2014, but economic gains and late 2014 government housing policy actions brighten the potential for even more positive change in 2015.”

Factors holding back recovery

1. Tight credit standards: Despite historically low rates, many households were prevented from capitalizing on mortgage access because of overlays lenders added to qualification standards in order to limit their risk. As a result, mortgage credit availability did not improve in 2014.

2. Limited inventory: While absolute inventories increased as the year progressed, supply did not outpace demand. Monthly supply of new homes and existing homes remained beneath normal levels, and the age of inventory was down year over year.

3. Depressed levels of first-time buyers: The share of first-time buyers fell to the lowest level in more than 20 years, according to the National Association of REALTORS®. “But the first-time buyer share is showing signs of modest improvement by the year-end,” said Lawrence Yun, NAR Chief Economist. Federal policy actions, such as revised regulations for lenders and new low down-payment programs introduced in December are anticipated to have a positive impact in 2015.

4. Record levels of renters and ever-increasing rent prices: Continued declines in homeownership rates resulted in record numbers of renting households. Rent increases became an inflationary concern this year, and looking ahead, the pace of these increases is not slowing down.

5. Lack of recovery in homebuilding and low share of new home sales: Single-family starts barely increased in 2014 over 2013. New home sales remain far from normal share levels – typically near 16%, they are now around 9%. New home prices increased substantially again this year, revealing that higher priced product is limiting the demand.

Categories
analytics

Boston Is 7th Most Valuable Market

A repost of Scott’s Zillow findings.

 Boston is Nation’s 7th Most Valuable Real Estate Market

 

Boston’s real estate market jumped $28 billion this year, according to Zillow.
Boston’s real estate market jumped $28 billion this year, according to Zillow.

The Boston Globe

By Scott Van Voorhis

Boston.com Correspondent

 

Feeling any richer? You should be. The total value of all homes and condos in Greater Boston came in just under the $600 billion mark in 2014, a new report finds.

 

 

Boston area residential values have jumped $28 billion this year, for a nearly 5 percent gain, according to Zillow.

The Zillow Home Value Index, a blend of property assessments by local officials and market prices, pegs the median home value for the Boston area at $364,900. (Zillow pegs the median rent at $2,137.)

The increase makes Boston the seventh most valuable real estate market in the country, behind Los Angeles ($2.2 trillion), New York ($2.1 trillion), San Francisco ($1 trillion), Washington ($943 billion) Chicago ($738 billion) and Miami/Fort Lauderdale ($717 billion).

Boston edged out Philadelphia ($573 billion) and San Diego ($538 billion) and smoked Seattle ($465 billion) and Minneapolis-St. Paul ($292 billion).

However, for buyers, there are two bits of good news.

First, the pace at which home prices are rising appears to be slacking off a bit. This year’s 4.9 percent jump in overall home and condo values is a step down from 2013, when Boston area real estate values hot up 8.1 percent, or $46.5 billion.

Second, inventory, or the number of homes on the market, also shows signs of improving, with 8.2 percent more listings this year compared to 2013.

Categories
architecture style

Newbury Street’s Chanel #6

 
Incredible new development at 6 Newbury Street – and  interesting thread of stories from CurbedBoston.com. 

New Twists for Two Raw Spaces at Back Bay’s Chanel No. 6

by Tom Acitelli, December 8, 2014

new2.jpg

 

 

The conversion of a garage at 4-6 Newbury Street in Back Bay is undoubtedly one of the most ballyhooed luxury redevelopments in Boston in eons. We’ve dubbed it Chanel No. 6 (there’s a two-story outlet for the iconic perfume peddler at the building’s base) and the handful of condos above (four or five, depending on whom you read at this point) have commanded some of the biggest Boston sales prices in recent memory. Yet, a lot about Chanel No. 6 remains mysterious.

A titanic part of the mystery stems from the condos being sold as shells. Take Units 301 and 302, the husks of which are pictured above. They traded together in mid-October for a cool $7,250,000 total. The purchaser, Boston Property Development, plans to turn the raw space into “two high-end residential condos for sale in 2015.” In other words, the luxury condos are going to be developed into luxury condos. May you live in interesting times. (H/t Buzz Buzz Home.)

· Chanel No. 6 Coming Into Its Shells Nicely [Curbed Boston]
· Our complete Chanel No. 6 coverage [Curbed Boston]

Categories
architecture

Micro-Units Pop Up In Boston

Micro-Units Pop Up in Boston, Fetch High Prices

 

A great repost from Scott.

One Seaport Square, which broke ground earlier this month, will include 96 “innovation units” ranging 300 to 500 square feet in size.
One Seaport Square, which broke ground earlier this month, will include 96 “innovation units” ranging 300 to 500 square feet in size.

Elkus Manfredi

 

 

 

 

The new breed of micro units popping up in Boston and Cambridge’s hottest neighborhoods are definitely small, but they are packing some macro rents.

The micro revolution took a major step forward earlier this month when developers broke ground in Boston’s Seaport District on a $600 million, twin tower, apartment, retail, and entertainment complex.

One Seaport Square will include 96 “innovation units,” studios and one-bedrooms ranging from 365 to 685 square feet in size. Targeted at up-and-coming entrepreneurs and young professionals, it is the largest number of micro units to be built to date in Boston.

Developers are mum on the prices for the tiny new apartments, which will have a wing of their own in the VIA tower. Overall 832 luxury apartments are slated to be built in the VIA and an adjacent tower, The Benjamin.

But if the prices set by other developers for these postage stamped size apartments is any indication, they won’t come cheap.

A 464-square foot unit at 315 on A next door in Fort Point rents for $2,700 to $2,800 a month.

Innovation units at Factory 63 leased out at roughly $1,700 a month when that hip new Fort Point rental building hit the market last year. The units are a sprawling 374 square feet.

Across the Charles River in Cambridge, the pricing is similarly high. At Avalon North Point, pricing for micro lofts starts at roughly $2,000 for 421 square feet, rising to around $2,100 for 450 square feet.

For developers, it is the best of both worlds. They get to offer units at a somewhat lower overall price point in a market where $3,000 and up for space in a new rental tower is the norm, while also maintaining a high cost-per-square foot ratio, notes Vivien Li, executive director of the Boston Harbor Association and a long-term observer of new waterfront development trends.

Take a $1,700/month micro unit, double it to the size of a one bedroom, and suddenly you are at $3,400 a month.

But developers are also trying to create units that will appeal to younger renters, offering up common space that can be used for everything from working on a startup to meeting new friends.

One Seaport’s new innovation units will have their own separate wing, with common “collaboration spaces” for budding entrepreneurs to team up on projects and swap ideas. Those renting the innovation units will also have access to an array of common areas planned for the VIA tower itself, most of which will be luxury units.

The VIA will have outdoor lounges, water features, grilling areas and gardens, according to a press release detailing the project.

And while living in a micro unit could prove cramped and maybe even a bit lonely, pet friendly policies at One Seaport and 315 on A can ensure at least a little cuddly comfort.

“The innovation unit is where you sleep and keep your clothes,” Li noted. “When you want to socialize, you have these large common areas.”

“It’s one step up from a dorm room,” she added.

Categories
trends

Boston Seaport Buildings May Rein In Rents

 

Good post by Scott at Boston.com. Check out the gorgeous renderings.

One Seaport Square May Rein In Boston’s Runaway Rents

 

Rendering of One Seaport Square, slated to open in 2017.
Rendering of One Seaport Square, slated to open in 2017.

Elkus Manfredi
By Scott Van Voorhis
Boston.com Correspondent

Take that, rising rents. More than 800 new apartments are poised to take shape near Boston’s waterfront in a massive project so large it might just help rein in the Hub’s runaway rents.

Developers of the $600 million One Seaport Square broke ground Friday on the 1.5-million-square-foot project, just across the street from Fan Pier and the new ICA in Boston’s Seaport/Innovation District.

A centerpiece of the new development will be a pair of new towers, 20 and 22 stories tall, that will be packed with 832 apartments ranging from tiny “innovation units” to spacious luxury digs.

Slated to open in 2017, the new development will put more new apartments on the market in Boston than any single project in decades.

The two towers, named VIA and The Benjamin, will come with an array of shared spaces, including gardens, places to grill, lounges, and a heated outdoor pool overlooking the skyline.

“When you bring so many new apartments, the market will adjust,” predicts Vivien Li, executive director of the Boston Harbor Association and a long-time observer of development along the city’s waterfront. “What we may find is that rents may start to level out.”

The new development will also feature oodles of new places to eat and shop, with 250,000 square feet of retail space planned for the largest shopping and dining venue yet in the Seaport. Coming attractions include the upscale ShowPlace ICON Theater, a Kings Bowl, and an Equinox fitness center.

The project is the work of a trio of high-powered developers. Veteran tower builder John Hynes, son of legendary newscaster Jack Hynes and grandson of one of Boston’s influential mayors of the last century, snapped up the sprawling collection of parking lots nearly a decade ago.

He later teamed up with the Berkshire Group and WS Development, which has rolled out a number of suburban life-style centers, including The Street in Newton and Legacy Place in Dedham.

“One Seaport Square will be our largest project in Boston,” Hynes said in a statement. “It will set the tone for just how dynamic this new neighborhood will be in all categories: commercial, residential, shopping, dining and entertainment. We cannot wait to bring it to life.”

While Hynes and his partners are mum on what rents will be for the new apartments, the developers say they aren’t looking to do just another luxury rental high-rise, but are aiming to have a wider range of apartments.

The innovation units in particular, will be aimed at young professionals, with relatively tiny apartments featuring just a few hundred square feet of space aimed at offering a more reasonable rent. But the luxury apartments are likely to draw a wide range of prospective tenants, including wealthy empty nesters attracted to the cachet of Boston’s vibrant and growing waterfront, Li said.

The apartments will join a neighborhood that’s seeing billions in new construction take shape, from office and hotel towers, to luxury condos and a $1 billion expansion of the Boston Convention & Exhibition Center.

Just across the street at Fan Pier, waterfront developer Joe Fallon has been selling dozens of multimillion-dollar condos.

“The market has really made this area hot,” Li said.

 

Aerial view of the One Seaport Square location.
Aerial view of the One Seaport Square location.

Hannah Cohen for Boston.com

 

Approximate views from the One Seaport Square location.
Approximate views from the One Seaport Square location.

Mike Diskin

 

Approximate nighttime view from the One Seaport Square location.
Approximate nighttime view from the One Seaport Square location.

Mike Diskin
Categories
trends

Markets More favorable To Buyers.

 

Good to see some balance returning to the Boston market.

 

Housing Market More Favorable for Buyers This Fall

 
Towns are seeing an increase in the number of homes for sale.
By Scott Van Voorhis
Boston.com Correspondent

Boston-area buyers have endured serious abuse over the past couple years, facing sometimes dozens of competing offers and cocky sellers dictating all sorts of demands.

While it is too soon to call an end to what has been an epic seller’s market, buyers are finding a less crazed atmosphere as they check out homes and visit open houses this fall.

An increase in the number of homes hitting the market across Greater Boston has meant there are more listings to choose from, brokers say. In some cases, buyers are even able to haggle over price, instead of simply asking “how high” before signing a purchase and sales agreement, notes Re Gibson, manager of Coldwell Banker Residential Brokerage’s office in Franklin.

“Get a house, period, is what you needed to do before,” she noted. “Now you have choices.”

The change has been particularly dramatic in Franklin, a growing suburb out on the 495 beltway between Boston and Providence. Last fall, there were just 40 single-family homes on the market. This year, that number has nearly doubled to 76, Gibson said.

Franklin is not alone in the number of mid-priced homes for-sale. It’s a trend seen across Boston’s suburbs.

Towns in Norfolk County, which includes Brookline and Dedham, and continues from Franklin to the Rhode Island border, have seen significant increases in the number of homes for sale. This is especially so in the $300,000-to-$350,000 range, and the $500,000-to-$600,000 range notes Alex Coon, market manager for Redfin’s Boston area office.

The western suburbs have also seen a big jump in mid-range homes, with 419 listings in the $500,000-to-$600,000 range, up from 358 last year. Days on market, or the time it takes for a house to snag a buyer, have increased to 98, up six day over last year.

With more homes to choose from, buyers are taking their time to look around instead of rushing to buy the first available house, Coon said.

“From the agents on the ground, there is definitely not as much of a sense of immediacy” on the part of buyers, Coon said. “It’s a great thing – it will allow people to have a little more of a sane approach.”

Some buyers are even able to engage in a fun activity many have come to believe no longer exists: negotiating over price.

Matt Hanson, a Redin agent who works in the Reading- Woburn-Melrose area, said homes that are in great condition and well-priced are still drawing two-to-four bids. But, if a house needs work – whether it’s a new roof or a tired kitchen – there’s room to haggle.

“I do think there is some room to negotiate when a house is not in move-in condition,” he said. Out in Franklin, Gibson says some buyers are able to talk down the price by two or three percent.

“We had a lot of multiple offer situations in the spring and summer,” she said. “We are not seeing as many now.”

Even Cambridge is not quite as crazy as it was in early summer, with homes staying on the market a week or two instead of getting snapped up in a matter of days or even hours, said Bill Aibel, a premium associate at Coldwell Banker.

“I am actually feeling a shift in the winds a little bit favoring potential buyers,” he said.

 

 

Categories
analytics trends

Q4 Boston…what to expect

 

What David Bates thinks about Q4!

Boston Condos in the Last Bit of 2014: What to Expect

CurbedBoston.com by Tom Acitelli

Here’s the latest installment of Bates By the Numbers, a weekly feature by Boston real estate agent David Bates that drills down into the Hub’s housing market to uncover those trends and people you would not otherwise notice.Follow him on Twitter and check out his ebook, Context: Nine Key Condo Markets, 2.0.

holiday-house_283.jpgIt’s Q4. And while Q4 is packed with holidays, let’s not forget that it’s also chock-full of home sales. Nearly 1,000 Boston condos went under agreement during the fourth quarter of 2013, and sometimes holidays and sales were linked—like last Halloween when 12 Boston condos went under agreement, what a treat. And, on Thanksgiving 2013, twoBoston condos sellers gave thanks as they signed offers with one hand and presumably held drumsticks with the other. Also, while you might have missed the real estate door-buster last Black Friday, four Boston condo buyers didn’t; they put condos under agreement that day.

Even on the night before Christmas, when all through the house, not a creature was stirring, not even a mouse… three Boston condo sellers could be heard countersigning offers. At least that’s what the MLS data shows. Then, on Christmas itself, one Boston condo seller got a present they may not soon forget. It wasn’t an ugly sweater or something to be re-gifted, it was an acceptable sales price, so they wrapped up the paperwork and went on their merry way.

Will Q4 bring joy to Boston-area real estaters in 2014. Why not? There are plenty of reasons to buy this Q4. Interest rates are low; and, for many, new babies and new jobs crank up the home-buying motivation. And let’s not forget that what we often want most in a new year is positive change. Hey, what’s more positive change than a new home? In the last week of 2013, a week where almost nothing of consequence happens for most, 45 Boston condo buyers put units under agreement, guaranteeing their new year would start off on the right foot.

Today’s buyers, who for one reason or another missed the spring market, will note that more Boston condos were available for sale on Oct. 1 than were available for sale on April 1. Additionally, it is highly likely that there will be more Boston condos available on Nov. 1 than were available on May 1. So, if you like selection, put on your condo-buying shoes. Of course, while buyers note more selection, they’ll also note fewer competitors as it’s traditionally a slower time of the sales year—even more reason to buy in Q4 2014.

While there are many reasons to buy this Q4, it would be an injustice not to point out that it can be a great time to sell as well. Last year, 865Boston condo sellers listed their homes for sale in Q4. And, although Q4 is not known for its buyer quantity, it might be remembered for its buyer quality. That’s because the median list price of a Boston condo that went under agreement in December 2013 was $449,000. Heck, the median list price of a Boston condo that went under agreement in April 2013 was only $429,900. Can there be any doubt that holiday décor and wishes for joy, peace and goodwill toward all adds to home values?
· Our Bates By the Numbers archive [Curbed Boston]

Categories
analytics style

Cost Of Waterfront Homes

 

A fun if not oversimplified post from Zillow.com.

 

What Would You Pay to Live on the Water?

 AUTHOR:, Zillow blog

Millions of Americans dream of one day owning a home on the water, and for good reason: The views are often to die for, the array of activities is seemingly endless and the peace of mind gained by knowing you’ll never have a neighbor on at least one side of your home is priceless. But the very things that make waterfront living so appealing can also make it incredibly expensive.

Nationwide, the typical oceanfront or lakefront single-family home is worth more than double the median value of all homes, and in some communities the median waterfront house could be worth more than 10 times the median value of non-waterfront houses, according to a new analysis by Zillow. The median single-family home in the U.S. is worth about $171,600, while the median waterfront house is valued at $370,900, a waterfront premium of 116.1 percent.

Zillow analyzed the 250 largest communities with at least 100 waterfront homes. The analysis only considered oceanfront homes or those on a lake larger than 10 square kilometers. Homes also had to be within 150 feet of the waterline to be considered waterfront. Riverfront and water-view homes were not considered.

Overall, the most expensive waterfront homes are found in communities in coastal California. Laguna Beach tops this list with median waterfront home values of almost $10.1 million. Malibu ($6.3 million) and Hermosa Beach ($4.8 million) round out the top three.

The most affordable waterfront homes in the country are found in Holiday, FL, with median waterfront home values of $103,000. In the top 10 least valuable waterfront communities, eight of the remaining nine cities with the cheapest waterfront homes are located in Florida. In other words, potential buyers looking for the lowest entry point into the waterfront market should consider the lesser-known cities of the Sunshine State.

Among the largest of the 250 cities analyzed (those with populations of 100,000 or greater), the biggest difference between median non-waterfront single-family home values and median waterfront house values are in Tampa (waterfront premium of 733 percent), Honolulu (waterfront premium of 334.5 percent) and Long Beach, CA (waterfront premium of 321.6 percent).

“The allure of ocean and lakefront living is powerful and undeniable, and millions of homeowners nationwide dream of one day owning a home on the water. But those dreams come at a price,” said Zillow Chief Economist Dr. Stan Humphries. “Waterfront properties are both relatively scarce and highly coveted, and that high demand and limited supply leads to higher home prices. Additionally, added insurance, floods, environmental mitigation and infrastructure costs are often part of the tab when buying a waterfront home. Still, as long as buyers understand the added costs and potential headaches, waterfront living is likely to remain one of life’s simple pleasures for many, many years to come.”

Information on all 250 cities analyzed can be found on Zillow Research here.

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