It's hard to say exactly what's going on right now in the South End but suffice to say it is HOT. As we closed out 2016, signs were suggesting that 2017 might be a year when pricing and demand would level off. The fall market was strong but not wild and with rising interest rates, a new political regime and almost five years of rapid appreciation, it stood to reason that this cycle might be nearing the peak.
However, two months into 2017 and we're as hot as ever. We have not even exited the cold (well, not that cold) winter months and buyer activity and demand feels as insatiable as any point in the last few years. In the pat week or so we saw the following:
- A one bedroom unit on Hanson St (Eight Streets neighborhood) procured 17 offers over asking price.
- A rather ordinary two bedroom condo on Worcester Square had four offers over asking price and will ultimately trade above $1,000 per square foot!
- A two bedroom, one bath unit on St. Botolph was similarly under agreement within days of the listing.
- A two bed unit on Shawmut was immediately under agreement
- A two bed unit on Holyoke was immediately under agreement
So, what's a buyer or seller to do? For one, buyers absolutely must be in close contact with their financing advisors. Make sure your bank/mortgage broker understands the conditions and can move as quickly as you need them to. Second, make sure you're seeing enough places to be educated on when to bid high and when to let someone else over bid.
Sellers, de-clutter and don't wait! Sometimes the difference in impressing buyers is as little as making sure your place is appropriately minimalist. We have no idea how long this feeding frenzy will go on. It seems safe to bet that it will last through the spring but perhaps getting to market earlier this spring with the idea of a longer lease-back after sale might pay dividends.
Let us know what you're thinking. We're always interested in discussing your real estate strategy.