Boston at ‘Moderate’ Risk of Housing Bubble
According to a new report from UBS, the Greater Boston for-sale housing market ranks ninth in a ranking of global cities’ housing markets.
According to a new report from UBS, the Greater Boston for-sale housing market ranks ninth in a ranking of global cities’ housing markets.
A team of researchers at the Federal Reserve Bank of Dallas issued a stark warning last week that American home prices “are again becoming unhinged from fundamentals.”
The number of single-family houses and condominiums for sale in Massachusetts grew substantially in nearly all of the state’s major markets last month, and market-watchers say the hot market could moderate later this year.
More people want to buy a home than ever before, with our “K-shaped” recovery sending demand through the roof. Yet never has there been so little to choose from, with sellers holding back from trying the market due to COVID-19, making a long-standing shortage of new construction that much worse.
Between a pandemic likely to cause another big cultural shift around single-family homes, and an inventory shortage unlikely to end any time soon, conditions are building for big run-ups in home prices.
The median pending sale price for a single-family home statewide in May rose over $400,000 for the first time this year, and the third time in the last 12 months, the Massachusetts Association of Realtors reported early this month.
Freddie Mac said in its November Insight released yesterday that there is ample evidence against the idea that the U.S. is in a housing bubble.
Boston ranked 20th on a list of the 25 real estate markets at greatest risk of being in a bubble, according to a recently published article by the Urban Institute.