Good news for home owners in Boston – the housing market is not only stabilized, but home prices has reached never-seen-before levels, even higher than the prices in pre-recession years.
If we take a look at the Zillow’s home value index, we shall see that in year 2005, homes used to have a peak median sale price of $384,000. In comparison, February 2014 saw peak median sale price of $418, 300. These prices are values are not an average number from all the sales, but the median – the value in the middle between the highest and the lowest level.
According to Zillow, the value of homes is on the rise and will keep on rising. Homes in Boston became 10.7% more expensive throughout 2013 and it seems that a new 3.3% rise is expected for this year. Currently, the median price of current listings on Boston’s Housing Market is $499,000. On the other hand, homes already sold are characterized by a median price of $433,650.
It appears that the most expensive homes in terms of median home value can be found in the Boston Chinatown – the value hits $794,000. It is important to know, however, that this is probably because of the ZIP code – 02111, which includes a more general area – the Theatre District and a part from Boston Common, where you can find some really luxurious homes. Otherwise, if you are looking for affordable home, Chinatown is one of the best choices with a density of more than thousand public housing units.
According to the CEO of AACA (Asian American Civic Association) – Chau-ming Lee, the affordable housing is never enough to satisfy the need. He adds that it is important to know who is eligible to get affordable taxes – it depends on the real income, not on the reported income in the tax documents. According to some evidence, some of the occupants does not deserve to be there because they already have a home that they rent. Lee says that it is important to have a careful choosing process that will give the affordable housing to people who are really in need.
Those who have luxury apartments in Boston are obliged to contribute to the city linkage fund. This fund improves job training, housing development and child care in neighborhoods like Chinatown. The funds are also used in order for community groups like ACDC (Asian Community Development Corporation) and CEDC (Chinatown Economic Development Council) to develop more affordable homes for people in need.
When it comes to renting, it appears that the median price in Boston hits $2,415. That is slightly higher than the Boston Metro (Newton, Cambridge and Quincy) with its $2,150. It appears, however, that both Boston Metro and Boston are significantly higher in terms of median rent price than the national level – $1,307.
In conclusion, we can say that while the prices are not as impossible to afford as in Manhattan, Boston’s housing market is really going up the curve. Check the table below to see the 9 most expensive neighborhoods in Boston in terms of median price.
| Neighborhoods in Boston | Media Price |
|---|---|
| China | $794,000 |
| Down Boston | $776,000 |
| South End | $636,200 |
| Beacon Hill | $625,800 |
| West End | $621,100 |
| North End | $542,200 |
| South Boston | $460,600 |
| North Dochester | $316,2000 |
| East Boston | $284,000 |