I want to know how Massachusetts became the most expensive state to buy real estate.
I also want to know what areas of Massachusetts this included.
I live in MA and I believe the data is based off anything surrounding Boston within 20 miles. Anything out side that radium is either reasonably priced or cheap because people don't want to move out there.
What other reasons do you believe real estate in Massachusetts is booming? Do you expect a crash considering how little we were effected during the 2008 financial crisis?
Asking for a friend!
Anything Boston and south is expensive driving the average way up. I don't know what data you're looking at but I'm assuming they're doing price per square foot. Boston, south shore, cape and islands are all very expensive per square foot in both sale and rental markets compared to other areas of the US.
My guess is that MA is a more dense area. While California has several cities that are expensive, it is a large state so there are many smaller towns that bring the average for the state as a whole down. Just a guess.
Once you start getting outside the RT 128 belt, prices start to drop - and outside RT 495, they drop sharply.
Triple deckers in Jamaica Plain (where I grew up) are routinely selling at $1.8M. In Plymouth where I live now, you can find them in the mid-high $400s. Go to the south coast (Fall River / New Bedford) and you'll find them in the High $200s to mid $300s.
The point being that lumping all of MA into that mix just isn't accurate.
@Charlie MacPherson I used to live in Chelsea and I couldn't afford to buy in my own home town and now I'm in Lawrence. Now that I'm here, I want to take advantage of this area before it gets as expensive.
I've also noticed this observation and I believe the prices are high up because of these education, the jobs and the low demand within the city. I hope some for of "correction" happens where a mini recession happens within the state occurs, but I doubt that will ever happen. Thank you!
Hey @Felix Torres yeah I had heard that BOSTON is now officially the hottest real estate market in the nation and to me that makes sense given everything that is going on with prices in the city. I do agree with everyone there are area's of MA where prices are still reasonable, especially once you get +30ish miles outside of the city.
As far as is a crash coming for all of MA? No one really knows. I don't think anyone would argue that the market in MA, especially around Boston, feels a bit high, but no one knows if and/or when it is going to change. People have been predicting another market crash for last 5 years now and many historic recessions didn't really impact home prices. No one has a crystal ball and those that say they do are probably looking to sell you a 2 day workshop on how to make millions in the next recession.
That being said I'm a firm believer that if you're investing smartly and have a few different exit strategies lined up; including being able to hold for cashflow, then it's never a bad time to buy a good deal.
Also we missed you at the last meetup!
@Jonathan Bombaci I noticed you mentioned a meetup! Where is it and what day/time!
Also, I agree. As long as the buildings cashflow that is the easiest way to hold property.
As an investor in Fall River we see little appreciation, but the cashflow is amazing.
I agree, and will pick up some rentals up towards Boston on the down sides of the market, but you really never see Boston hit that hard in a recession.
Cheers to your success!
My friend moved to Boston (Jamaica Plain) from Indy and his rent is ridiculous. It's a triple decker, he has roommates, and his rent was about $950 a month. He makes $80k per year, rides his bike to work, and told me he could never afford to buy or live alone. I'm still trying to wrap my head around it.
@Gualter Amarelo Here is the link to the last one. I'm trying to do them once a month in Lowell I'll schedule the next one for 10/10 (just not set up yet). If you follow this one then i'll post a notification once we have the 10/10 on the schedule :)
@Jonathan Bombaci thanks for sharing the link!
How many attendees usually come to this event?
@Gualter Amarelo we’ve been getting about 15-20 attendees with a few new faces each time. It’s a pretty casual meetup but I’ve only been promoting through BP events we’ll probably start putting it up on meetup and doing more on FB in the coming months