2021 Real Estate Observations (Boston, Brockton, Amherst: dorms, pay scale, retailer)

[msRB311]

Originally Posted by matrix5k

Any desirable metro area is like that. People who bought their homes in 2010 for 300k sold it for 750k the past few years and upgraded to a 1.5mil new construction. The rich get richer...

Right and then other hard working people can’t afford a decent town. I know some people that wanted to move to the town I live in now and were planning to but they can’t now. A lot of people are stuck. I guess they ruined their lives by not investing in Tesla and crypto.

I mean some of these houses going for a million are lousy houses.

[matrix5k]

Originally Posted by msRB311

Right and then other hard working people can’t afford a decent town. I know some people that wanted to move to the town I live in now and were planning to but they can’t now. A lot of people are stuck. I guess they ruined their lives by not investing in Tesla and crypto.

I mean some of these houses going for a million are lousy houses.

Yep timing is everything. More people and competition now. The only way a young couple can afford a house now is for both spouses to take on crippling debt to get advanced degrees, work full time, pay for childcare and maybe gamble on stupid investments like meme stocks. Or get help from their rich parents. Or move to undesirable areas and hope they get gentrified many years later. At least work from home is an option for some, so they can live in lower cost of living areas.

[r_p]

Originally Posted by msRB311

so this house sold for 640k in 2019 and just sold for $ 1,125,000 yesterday:

https://www.zillow.com/homedetails/4...57174091_zpid/

As far as I can see no updates were made to the home.

I mean what has happened? That is a huge increase to see in just 3 years. I feel bad for people buying a house for the first time...but I guess people have the money otherwise this wouldn't be happening.

To be fair the market dynamics has changed due to remote/hybrid work and we are seeing a shift in wealth from cities to the suburbs. A lot of folks wouldn't have considered this house at all before the pandemic. If you look at 2/3+ bedroom homes b/w $1-2 million range near downtown Boston you will see that they are going under asking price, e.g.,

https://www.redfin.com/MA/Boston/400.../home/21622337 was listed at $2.15 million but was sold for $1.95.

https://www.redfin.com/MA/Boston/30-...8/home/9255243 was listed at $2.175 million and sold for $1.95.

https://www.redfin.com/MA/Boston/232...1/home/9320193 listed at $2.1 million and sold for $1.9.

Now all we need is a 4 day work week

[msRB311]

Well Milton is right next to Boston and I don’t think prices are going down there. This house is in Hyde park which is one of the most ‘affordable’ parts of Boston:

https://www.redfin.com/MA/Boston/53-...6/home/9128610

I appreciate people trying to justify the prices but it still seems crazy to me. I’m just curious to see what will happen in the next few years.

[matrix5k]

Originally Posted by r_p

To be fair the market dynamics has changed due to remote/hybrid work and we are seeing a shift in wealth from cities to the suburbs. A lot of folks wouldn't have considered this house at all before the pandemic. If you look at 2/3+ bedroom homes b/w $1-2 million range near downtown Boston you will see that they are going under asking price, e.g.,

https://www.redfin.com/MA/Boston/400.../home/21622337 was listed at $2.15 million but was sold for $1.95.

https://www.redfin.com/MA/Boston/30-...8/home/9255243 was listed at $2.175 million and sold for $1.95.

https://www.redfin.com/MA/Boston/232...1/home/9320193 listed at $2.1 million and sold for $1.9.

Now all we need is a 4 day work week

Covid was definitely a big part of it. Why live in the city if you don't have to? People want a big yard for kids to play and privacy and a garage to park their cars. I lived in Boston for one year with a car and that was enough city living for me.

[simplexsimon]

Originally Posted by msRB311

so this house sold for 640k in 2019 and just sold for $ 1,125,000 yesterday:

https://www.zillow.com/homedetails/4...57174091_zpid/

As far as I can see no updates were made to the home.

I mean what has happened? That is a huge increase to see in just 3 years. I feel bad for people buying a house for the first time...but I guess people have the money otherwise this wouldn't be happening.

If it makes you feel any better there was definitely work done compared to the photos of the listing in 2019. https://www.redfin.com/MA/Duxbury/43.../home/16345451

[newenglandgal123]

Originally Posted by simplexsimon

If it makes you feel any better there was definitely work done compared to the photos of the listing in 2019. https://www.redfin.com/MA/Duxbury/43.../home/16345451

Looked much better before they did the work (both inside and out)!

[msRB311]

Oh i do now see the pics from 2019 and they did do some work. They could have done more with the kitchen.

I mean it's in a nice area in that it's right next to the town center. Not everyone wants to be right next to town so I think that's kind of a BS reason as well but it is what it is. i still am kind of shocked that in 3 years it went from being a 640k house to a million dollar + house.

[Highlander617]

Not all cities and towns in the Commonwealth are expensive.

https://www.redfin.com/MA/North-Adam...home/133778251

[yesmaybe]

Originally Posted by Highlander617

Not all cities and towns in the Commonwealth are expensive.

https://www.redfin.com/MA/North-Adam...home/133778251

Yeah but that's North Adams. Where the F would you work. May as well go to somewhere cheaper down south where there's still some semblance of a job market. Even if the job market is much worse than GBA.