While the pandemic has taken the world by the storm, the real estate market in South of Boston is no different. Before the coronavirus pandemic, the real estate numbers were healthy. The summer market is relatively weak as compared to the spring market. If we see from a national perspective, there is a significant decrease in the South of Boston real estate metrics from the last few months.
But, despite the pandemic, the are market is ripening for recovery. According to Realtor.com, the housing market is positioning itself for recovery because of the diversity in its economy. The Boston economy pillars include healthcare, financial services, biotech, hospitals, and pharma companies, with the tech sector remaining stable and well insulated. Christopher Falco, Owner/Broker of Chris Falco Realty, has continued to work from home, aiding sellers, or buyers, consequently contributing to housing recovery.
Home buyers are thinking;
Is it a good time to buy?
Because of the tech-savvy approach, both buyers and sellers are feeling confident, which is keeping the competition and housing demand high. Chris Falco is working hard while keeping himself and his clients socially distant. Virtual showings are the new normal, and people can walk through the house while sitting in their houses, cars, or business offices. Moreover, the entire home buying processes are being handled online – from the onset of signing the offer to closing in some cases- hence keeping everyone safe.
An Increase in the Availability of Apartments and Rental Price Trends
Due to COVID-19, the availability of apartment inventory has seen an increase. Since April, an unusual trend was seen where the real-time availability rate of apartments is on the rise.
The apartment price can be seen as holding steady as the rental prices are increased for the units in South of Boston.
The Average Condo Sale Price
There was an increase in the condo's average sales price, which was up to 40.4% compared to 2019, and the average price per square foot increased by up to 29.1%. The median sales prices increased 24.465.
Property Price Development for Residential Area
The demand for residential properties will not decrease despite facing coronavirus crisis because people always need a roof over their heads. It appears that the real estate market will remain stable when it comes to price.
Mortgage Rates Will Remain Low
To counter the coronavirus's negative effects, the Federal Government issued a cut point of 50 to lower down the interest rates. This will help in reducing the borrowing cost and make the housing affordable for the next few months. Moreover, the mortgage rate, which was up to 3.80% at the start of the year, fell to a low level of 3.13%, representing a significant saving of costs. For buyers who are able to afford monthly payments, these lower rates are providing them an opportunity to capitalize that they will enjoy for the upcoming years.
The Bottom Line
It is obvious that the coronavirus will create an impact on the real estate market all over the country, but it is clear that you don't need to panic. The lower rates will help offset the headwinds in South of Boston, and the situation is predicted to be back to normal.
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If you are looking to buy real estate in any South of Boston neighborhood, Chris Falco can help you find the best deal. Whether you’re looking for a home in Hanover, Weymouth, South Shore, Quincy, Abington, or any other local areas, he can help!
As a local area expert, Christopher Falco understands the real estate market and knows how to price your home to sell it fast!
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