High End Condo Market In Boston Is Correcting

For the last 2 years we have seen the high end market in Boston remain strong. In 2009 we are finally starting to see what everyone has been talking about for the last 12 months. Things like, “The market will correct”, “How can sales be so strong with the economy being so bad?”. Brokers, including myself had the answers, but not anymore. The jumbo(Over $417,000) lending market is very tight, seeing rates at 7%+. Buyers are now telling me that they would rather risk missing the bottom. Even if prices go up $100 to $200/foot, it is a whole lot better than seeing them go down another $300 to $600/foot which is what seems the likely scenario. Sellers are being forced to adjust their pricing by 10%-30% and it could get a lot worse. Some units that were once selling for $4 million plus are now seeing their offers closer to $3 million and closing prices that are not too far off.

I suggest finding a buyer’s agent that you trust with many years of experience. One who can find you the good opportunities and negotiate the best prices.