Real Estate Trends – Boston’s Back Bay (Condos) #2

Introduction:

Welcome back again for our latest real estate market trend report.  For those of you that are here for the first time what we do in these reports is examine the real estate market in a city or town in Massachusetts or New Hampshire to evaluate the current conditions.  We do this by looking at the changes in three key metrics year over year for the municipality to see how the market has changed and then evaluate what those observations might mean for that market moving forward.

Today we are once again highlighting the Condo market in The Back Bay area of Boston, MA in Suffolk County

 Back Bay and Charles River in Boston MA - Boston's Back Bay Real Estate

We took a look at this market back at the end of February and saw a big drop to start the New Year.

Market Trends in Boston’s Back Bay – March 2015 and 2016:

The Condo market in the Back Bay neighborhood of Boson, MA market has fallen off substantially since last year.   The average prices were down tremendously and the median prices were down significantly more.  The days on market were pretty flat but down a just bit.  Inventory was up a little with 16 sales in March of 2015 and 21 in March 2016. 

Average Listing Prices:

We will first start off by looking at the average listing price.  For a condo in Boston’s Back Bay the average listing price in March 2015 was $1,862,125.  This was down to $1,424,995 in March 2016.  This gives a significant decrease of 23.47% year over year. 

Looking at the median prices we see that it was much lower in both years.  For March of 2015 the median listing price for condos in Boston, MA’s Back Bay section was $1,324,500 and in March 2016 it was $825,000 which now gives an even significantly larger decrease of 37.71%. 

Average Sale Prices:

The next thing we will be looking at is the average sale prices.  The average sale price for Back Bay condos in March of 2015 was $1,754,647 and in March 2016 that was down to $1,391,786.  That gives a smaller decrease of 20.68% compared to the average list price. 

We see the same pattern as we did with the listing prices here for the median sale prices.  For March of 2015 the median sales price for Boston, MA’s Back Bay condos was $1,299,500 and in March 2016 it was $836,000 giving another substantially larger decrease of 35.67%. 

Prices are down a lot for Back Bay condos in March according to all of our metrics.  This is actually almost exactly what we saw for these in the January data with averages dropping in the 20s and the medians dropping in the 30s.  Similar to that report the range is fairly large and the drops in the averages is quite large medians are the preferred method for evaluating real estate prices.  Therefore we would conclude that prices are down the greater than 35% indicated by those.

Average Days on Market:

Finally the last metric we look at are the average days on market, which is the measure of how long it takes for a property to sell in the current market.  For condos in Boston, MA’s Back Bay neighborhood the average days on market in March of 2015 were 78.63 and the average days on market for March 2016 were 75.71 for a meaningless 3.71% decrease. 

Back Bay, Massachusetts Summary:

The Back Bay of Boston, Massachusetts’s Condo real estate market is down a tremendous amount since last year.  The average prices were down a ridiculous amount and the median prices were down by significantly more.  The days on market were pretty much flat with just a tiny decrease. 

In summary if you are looking to sell a condo in The Back Bay section of Boston, MA now you should expect to get much less for it than you would have gotten last year.  You can also expect it to take about the same time to sell compared to last year as well. 

 

Do you need to sell your Boston’s Back Bay, Massachusetts condo fast?  If you would like to sell your home fast and hassle free schedule a consultation with us today.

Please share your questions and comments below.

 

 

 

(Image credit: Back Bay and Charles River, Boston MA via Wikipedia)

 

Speak Your Mind

*