Jack Rooney

South Boston Market Recap April 2020

                     

 

For our April recap, I will not only graph and analyze condominium sales and listings but will also provide a year-to-date (YTD) market review as compared to the same period in 2019 (Year-Over-Year) and a 5-year YTD report. I will continue to focus on the condominiums, not by choice, as 134 of the 146 sales YTD (92%) have been condominiums. I have included market data charts and graphs for Single-family and Multi-family homes. Still, as you'll see below, the sample sizes are too small to gather any trends except that the number of sales for singles and multis are down 57% and 65%, respectively, as compared to 2019. In 2019, YTD, April 30th, there were 14 single-family sales and 17 multi-family sales as opposed to 6 sales for each, in 2020.

This substantial decrease is not solely attributed to the pandemic as the shutdown did not take place until March 17th. Accepted offers for this type of housing tend to take longer than the 45-60 days it takes for condominium closings, so missed sales after the shutdown would have closed in May and June, anyway. What's more puzzling is that the interest rate was lower in 2020 than it was for the same period in 2019. The number of condominium sales, YTD, only decreased by 12% from 2019... We expect to see the number of sales for all housing categories to fall even more over the next two months.

 

I've had a lot of inquiries from both sellers and buyers regarding the state of the real estate market in South Boston. I think the best way to answer these inquiries is to highlight some statistics from the data and graphs for both the month of April and YTD:

 

       

  • The 45 condominium sales are just one lower than there was in March and a 10% decrease from April 2019.

        

  • The YTD condo sales are running 11% lower than 2019 YTD but are very similar to the number of sales in 2017 and 2018.

         

       

  • The median sale price for condominiums, 2020 YTD, is up to $820,000. That's 7% higher than it was in 2019.

 

  • The 2020 YTD median price per square foot is $762.60, a 3.3% jump from 2019.

 

  • The median list price for the current condominium inventory ( 95 units) is $929,000.

 

  • The Days On Market YTD 2020 is 56, an increase of 180% from last year.

 

  • The number of units that went pending YTD is 163, a decrease of 13.5% from the 200 in 2019.

 

My overall take on the South Boston real estate market is that the sky is not falling by any means. Yes, some on the front-end indicators (DOM, Sale Pendings and Days to offer) are trending in the wrong direction, but interest rates are at an all-time low, and median sales prices are up. It may take longer to sell condominiums priced higher than a million. Still, everything else, including single-family and multi-family homes, will move more quickly, especially with the Covid19 shutdown ending soon.

If you have any questions about the market or your property value, you call me at 617-645-5370 or email me at Jackie@Rooney-Re.com.

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    South Boston Market Recap March 2020

    For the March recap, we will, again, only review condominiums as the sample sizes for single-family’s and multi-family’s are too small to gather any trends. In our quarterly report, we will include singles and multis. Also, in the interest of disclosure, the source of our data was from MLS.

     

    Although the Covid-19 state of emergencies were in place for the second half of March, surprisingly, the front-line data, i.e. current listings, pending sales and days on the market, showed very little drop off from the February, 2020 numbers and the year over year numbers from March, 2019.

     

    There were 44 condominiums that closed (real buyers) in March, an increase of 82.6% from the 23 in February, and an increase of 20% from March, 2019. This increase shows how strong the real estate market was in January and February before the virus. Keep in mind, that there’s a 45-60 day lag time from offer to closing. We do anticipate the April closing numbers to drop-off a bit due to Covid-19 as closing dates are getting extended, and the number of accepted offers in March was down 7.4% from February. We expect to see the real effect of the virus in the May & June data.

     

    We listed our specific comments for March, 2020, below each graph.

    As we mentioned in the introduction, the number of closed transactions in March (44) was an increase of 82.6% from February. The median sales price was $848,500 and the median living space was 1,143 square feet.

     

    The overall median price per square foot for the 44 closed transactions in March was $766 and the median living area for those sales was 1,143 SF. This graph shows the median price per square foot for each price band. This graph will have more meaning in a half-year or yearly recap when the graph will resemble a reverse step graph.

     

    The median living area for the 44 sales in March was 1,143 SF. This graph breaks down the median living area for each price band. I’ll put more stock in this graph in the quarterly or yearly reports when the sample sizes are larger.

     

    There were 50 units that went under agreement in March, a decrease of 7.5% from the 54 in February. This is one of the frontline indicators that we will be watching closely in April and May.

     

    Days on Market (DOM) is a measurement of the age of a listing(s) in MLS and can be used a gauge to test the relative strength and direction a market. The overall DOM in March (46), decreased from 57 in February. The graph shows the DOM for each price band.

     

    The number of active listings decreased from 87 in February to 80 in March, an 8% drop-off. We suspect that this was due to both absorption and sellers declining to list their properties during the pandemic.

     

    The overall month's supply for condos decreased from 1.8 to 1.65 as the the current listings decreased by 8%. As we have mentioned previously, a healthy inventory for most markets is 4-6 month's supply.

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      South Boston Market Recap - February 2020

       

      As we did in the January recap, we will focus on the condominium sales and listing data as the sample sizes for both single-family and multi-family are too small to gather any trends. Also, the source of the data was exclusively from MLS, which we find to be more comprehensive, especially on the listing side, and timely as we can complete these monthly reports in the first week of the following month.

      Please note that the Covid-19 state of emergencies had not taken place in February, so the virus had little effect on the real estate market in February. We certainly anticipate the virus effect in the March and April Recaps. 

      Our overall conclusion for February 2020 is that the South Boston residential real estate market was heating up and had a considerable amount of energy and activity that is reflected in the Sale Pending, Days on Market, and Current Listings graphs below. Although both the number sales and the median sale price was down from January 2020 and down year over year from February 2019, both lagging indicators, all other indicators were trending up.

      We listed our specific comments, as of February 29th, below each graph.

       

       

      The term Real Buyers means sold units or closed transactions. The amount of sold condominiums in February (23) was similar to January's number (24). This was expected as the activity level did not pick up until the first week in January . This increase in activity, given the 45-60 day lag-time from offer to closing, will be reflected in the March Real Buyer numbers.

       

       

      Here’s another graph that’s interesting but don’t put much stock in It. It will have more value when the quarterly and yearly numbers are input. The median price for all sales (23) is February was $755,000.

       

      I hesitated using this graph for the monthly recap because the sample sizes across each price band are too small. Typically, units that have a smaller living area fetch more per square foot than larger units.  In other words, it's easier to sell a 500 SF unit for $500K ($1,000 per SF) than sell a 2,500 SF unit for  $2,500,000 ($1,000 per SF). It is challenging, but not impossible, to sustain a very high price per square over very large units. This graph will have more meaning in a half-year or a yearly recap. The price per SF changes for each square footed range and location in the building.

       

      The median living area graph refers to closed sales. As you can see, two of the price bands had no sales in February.

       

       

      The number of Sale Pending units increased sharply in February (54) as compared to the 35 in January, 2020 , a 54% increase and a 170% increase from February of 2019. Again, this was expected as activity levels (showings and open attendance) jumped significantly in early January.

       

       

      Days on Market (DOM) is a measurement of the age of the listing in MLS and can be used as a gauge to test relative strength and direction of a market. In our market, DOM tends to increase after July and decrease after the holidays in January. The DOM for February is quite low especially for the lower price bands. This was expected as the inventory is very low. (See Month's Supply graph and the Current Listings graph)

       

       

      The 87 Condominiums that are on the market represent 1.8 month's inventory based on the condominium absorption rate over the previous 12 months. Note that half the current listings (43) are asking above a 1 million, 5 of which are asking above 2 million dollars. These listings are all in 02127 as the SB Seaport inventory was not included in this market recap...Things have certainly changed around here!

       

       

       

      Month's Supply is based on the number of current listings, for each price band, divided by the average monthly absorption from the previous 12 months for each respective price band. The overall Month's supply is 1.8 months and is considered to be low for our industry as a healthy, stable market has 4-6 months inventory.

       

       

         ALTHOUGH INFORMATION IN THIS REPORT WAS GATHERED FROM SOURCES DEEMED TO BE RELIABLE, NO REPRESENTATION OR WARRANTY IS MADE AS TO THE ACCURACY OR COMPLETENESS OF ANY INFORMATION CONTAINED HEREIN. THUS, PROSPECTIVE PURCHASERS SHOULD INDEPENDENTLY VERIFY ALL INFORMATION. FURTHER, THIS PACKAGE IS SUBMITTED SUBJECT TO ERRORS, OMISSIONS, PRIOR SALE, LEASE OR WITHDRAWAL FROM SALE WITHOUT NOTICE. IF YOUR PROPERTY IS CURRENTLY LISTED WITH ANOTHER REAL ESTATE BROKER, PLEASE DISREGARD THIS OFFER. IT IS NOT OUR INTENTION TO SOLICIT THE OFFERINGS OF OTHER REAL ESTATE BROKERS. WE COOPERATE WITH THEM FULLY. EQUAL HOUSING OPPORTUNITY.

       

       

       

       

       

       

       

       

       

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        Seaport (02210) Real Estate Transactions Jan 2020

        There was 38 Transactions in the 02110 zip code in January of 2020, only 5 of which were not in Echelon. The average sale price of these Condos was $1,645,107.

         Echelon is the new luxury development in the Seaport District. The project is divided into 2 buildings. 

        133 SEAPORT

        Live large. A flagship address offering 255 condominium residences with Boston Harbor and Seaport park views, generous private stepped terraces, grand and elegant interiors, and extensive outdoor amenities including a waterfall pool, lounge and dining areas.

        135 SEAPORT

        Live modern. Contemporary and cool, 135 Seaport offers 192 condominium residences with Harbor and wrap-around city and sunset views to the west. The expansive fifth-floor terrace offers a grand outdoor pool, sun cabanas, outdoor dining and lounge areas.

        for more information about Echelon visit https://echelonseaport.com/

         

         

        Address

        Price

        Date

        Sqft

        Bed(s)

        Bath(s)

        Parking

        Year Built/ Converted

        133 Seaport Blvd #2112

        $4,650,000

        1/24/20

        1,962

        3

        3.5

        2 Garage

        2019

        133 Seaport Blvd #1918

        $4,381,800

        1/30/20

        1,878

        3

        3.5

        2 Garage

        2019

        133 Seaport Blvd #1820

        $3,625,000

        1/28/20

        1,615

        2

        2.5

        2 Garage

        2019

        133 Seaport Blvd #1908

        $2,895,000

        1/16/20

        1,571

        2

        2.5

        2 Garage

        2019

        133 Seaport Blvd #1022

        $2,417,000

        1/24/20

        1,297

        2

        2.5

        2 Garage

        2019

        133 Seaport Blvd #1208

        $2,327,000

        1/6/20

        1,496

        2

        2.5

        1 Garage

        2019

        133 Seaport Blvd #1620

        $2,295,000

        1/21/20

        1,266

        2

        2.5

        2 Garage

        2019

        133 Seaport Blvd #808

        $2,283,500

        1/7/20

        1,496

        2

        2.5

        1 Garage

        2019

        133 Seaport Blvd #1818

        $2,100,000

        1/21/20

        1,266

        2

        2

        1 Garage

        2019

        133 Seaport Blvd #523

        $1,995,000

        1/9/20

        1,249

        2

        2

        1 Garage

        2019

        133 Seaport Blvd #1723

        $1,971,300

        1/2/20

        1,203

        2

        2

        1 Garage

        2019

        133 Seaport Blvd #1623

        $1,950,000

        1/15/20

        1,249

        2

        2

        1 Garage

        2019

        133 Seaport Blvd #818

        $1,878,000

        1/31/20

        1,266

        2

        2.5

        1 Garage

        2019

        133 Seaport Blvd #923

        $1,818,400

        1/22/20

        1,249

        2

        2

        1 Garage

        2019

        133 Seaport Blvd #902

        1,767,000

        1/30/20

        1,075

        2

        2

        1 Garage

        2019

        133 Seaport Blvd #1216

        $1,450,000

        1/6/20

        845

        1

        1

        1 Garage

        2019

        133 Seaport Blvd #2010

        $1,425,000

        1/29/20

        789

        1

        1.5

        1 Garage

        2019

        133 Seaport Blvd #1010

        $1,361,155

        1/28/20

        789

        1

        1

        1 Garage

        2019

        346-354 Congress St #613

        $1,357,000

        1/16/20

        1,159

        2

        2

        None

        2008

        15 Sleeper St #302

        $1,350,000

        1/31/20

        1,430

        2

        1

        None

        2015

        133 Seaport Blvd #1710

        $1,350,000

        1/31/20

        777

        1

        1.5

        1 Garage

        2019

        133 Seaport Blvd #1016

        $1,322,100

        1/24/20

        845

        1

        1

        1 Garage

        2019

        133 Seaport Blvd #2012

        $1,298,250

        1/17/20

        700

        1

        1

        1 Garage

        2019

        133 Seaport Blvd #1512

        $1,180,000

        1/8/20

        700

        1

        1

        1 Garage

        2019

        33 Sleeper St #306

        $1,135,000

        1/31/20

        1,599

        2

        2

        None

        1982

        133 Seaport Blvd #1119

        $1,101,000

        1/6/20

        651

        1

        1

        1 Garage

        2019

        133 Seaport Blvd #1101

        $1,100,700

        1/28/20

        667

        1

        1

        1 Garage

        2019

        133 Seaport Blvd #915

        $1,095,000

        1/31/20

        800

        1

        1

        1 Garage

        2019

        133 Seaport Blvd #1007

        $1,083,900

        1/7/20

        696

        1

        1

        1 Garage

        2019

        500 Atlantic Ave #17s

        $1,060,000

        1/30/20

        864

        1

        1.5

        1 Garage

        2006

        133 Seaport Blvd #715

        $1,054,700

        1/9/20

        803

        1

        1

        1 Garage

        2019

        133 Seaport Blvd #1019

        $1,048,700

        1/21/20

        651

        1

        1

        1 Garage

        2019

        133 Seaport Blvd #1001

        $913,000

        1/16/20

        667

        1

        1

        1 Garage

        2019

        133 Seaport Blvd #701

        $877,800

        1/8/20

        667

        1

        1

        1 Garage

        2019

        133 Seaport Blvd #1121

        $825,000

        1/10/20

        525

        Studio

        1

        1 Garage

        2019

        133 Seaport Blvd #621

        $783,900

        1/29/20

        525

        Studio

        1

        1 Garage

        2019

        133 Seaport Blvd #508

        $674,500

        1/14/20

        446

        Studio

        1

        1 Garage

        2019

        63 Melcher St #405

        $625,000

        1/3/20

        533

        1

        1

        None

        2018

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          South Boston Market Recap January 2020

              

           

          We are only one month into calendar 2020, so it is somewhat too early to establish year-long trends reliably.

               

          However, Rooney Real Estate’s overall first-month conclusions are that South Boston’s residential real estate has shown considerably more energy during January 2020 – a trend that we feel began right after Christmas.  There are certain quantitative reasons we are saying this:  the weather has been measurably warmer than usual and despite many predictions to the contrary, interest rates have dropped significantly since last fall – from a high of about 4.65% back then, to recent individual agreements as low as 3.45%.  A drop of over 1% is quite significant over the life of a mortgage.  And Consumer Confidence rose to 101.3 – the highest it has been since 2014.

               

          Qualitatively, since year-end greater numbers of viewers have been showing up at our open houses in South Boston – perhaps two or three times as many as those who came before Christmas, and during the fall months of 2019.  And as odd as this may sound, when the Patriots aren’t on their way to the Super Bowl, more potential buyers spend their January weekends looking at real estate.

            

          The following are our specific comments, as of January 31 this year:

           

          - Under “Listing Inventory”, the number of Listing Units stayed essentially the same, but Median Days on the Market dropped sharply – 98 in January 2019, to 51 this January (-48%).

           

          -  Median days on the market for Listing Inventory (units that were on the market as of January 31st, 2020) dropped significantly to 51 days from 116 days in Dec 2019. This indicates that some absorption of older inventory along with the addition of newer inventory (74 units).

           

          -Under Agreement (listing units that went pending) rose from 37 last January to 51 this January (+38%) and considerably higher than the 15 sale pending units in December of 2019.

           

          - Inventory at 1.9 months this January, about a third of what it should be, is still very low. Even with all the current building taking place in South Boston, the 1.9 inventory means that homes are not being put on the market and perhaps are being rented instead.  But currently approved rental unit projects will add more than 500 units to South Boston stock.  What will this mean as 2020 progresses?

           

          Below is a chart comparing the overall statistics from Jan 19' to Jan 20'. One thing to keep in mind is the fact month to month is not the greatest comparison of market trends due to the possibility of a high-end / large development closing in a particular month can skew the statistics.  

          As a closing note, the figures above deal with condominium sales only, because they account for more than 90% of South Boston’s total residential sales.  Sales of single-family and multi-family properties are so few that no accurate comments or conclusions are possible this soon in 2020.

           

          The Chart below contains all Single and Mulit-family properties that closed in January 2020

          Singles

          Address

          Price

          Date

          Sqft

          Lot Size

          Bed(s)

          Bath(s)

          Parking

          504 E 3rd St

          $1,125,000

          1/23/20

          1,088

          1,216

          2

          1

          None

          776 E 6th St

          $845,000

          1/23/20

          1,562

          1,149

          3

          1

          None

          Two-family's

          Address

          Price

          Date

          Sqft

          Lot Size

          Bed(s)

          Bath(s)

          Parking

          16 Beckler Ave

          $800,000

          1/24/20

          1,713

          1,029

          4

          2.5

          None

          Three-family's

          Address

          Price

          Date

          Sqft

          Lot Size

          Bed(s)

          Bath(s)

          Parking

          5 Douglass St

          $1,740,000

          1/31/20

          2,418

          1,306

          6

          3

          None

          11 Carpenter St

          $1,050,000

          1/31/20

          2,208

          1,730

          6

          3

          None

          174 W 7th St

          $925,000

          1/9/20

          2,202

          1,187

          7

          3

          None

           

          The Chart below contains all Condominiums that closed in January 2020.

          Address

          Price

          Date Sold

          Sqft

          Bed(s)

          Bath(s)

          Parking

          Year Built /Converted

          14 W Broadway #906

          $1,675,000

          1/15/20

          1,735

          2

          3

          1 Garage

          2017

          14 W Broadway #907

          $1,550,000

          1/3/20

          1,653

          2

          2.5

          1 Garage

          2017

          509 E 1st St #7

          $1,250,000

          1/31/20

          1,600

          2

          2

          1 Garage

          2018

          660 W 7th St #2

          $1,120,000

          1/30/20

          1,668

          3

          3

          None

          2019

          346-354 Congress St #613

          $1,184,000

          1/16/20

          1,159

          2

          2

          1 Garage

          2008

          287 Old Colony Ave #5

          $1,180,000

          1/24/20

          2,000

          3

          2.5

          1 Garage

          2019

          82 G St #1

          $1,077,00

          1/21/20

          1,978

          3

          2.5

          1 off-street

          2015

          545 E 3rd St #6

          $1,100,0000

          1/8/20

          1,600

          3

          3

          1 Garage

          2019

          509 E 2nd St #1

          $1,100,000

          1/27/20

          1,685

          2

          2

          2 Garage

          2012

          141 W 2nd St #206

          $1,065,000

          1/14/20

          1,302

          2

          2

          1 Garage

          2010

          537 E 1st St #4

          $1,045,000

          1/17/20

          1,358

          2

          2

          1 Garage

          2013

          225 Dorchester St #14

          $1,025,000

          1/10/20

          2,011

          2

          2

          2 Garage

          2016

          9 W Broadway #107

          $923,000

          1/22/20

          1,498

          2

          2

          1 Garage

          2004

          901 E Broadway #1

          $890,000

          1/14/20

          1,410

          2

          2

          2 Garage

          2015

          170 W Broadway #308

          $865,000

          1/6/20

          1,045

          2

          2

          1 Garage

          2017

          287 Old Colony Ave #3

          $829,000

          1/23/20

          1,207

          2

          2

          1 Garage

          2019

          287 Old Colony Ave #1

          $799,000

          1/17/20

          1,226

          2

          2

          1 Garage

          2019

          527 E Broadway #203

          $795,000

          1/24/20

          1,153

          2

          2

          1 Garage

          2019

          772 E 6th St #2

          $789,000

          1/16/20

          1,035

          2

          1

          None

          2019

          9 W Broadway #206

          $775,000

          1/31/20

          1,129

          1

          2

          1 Garage

          2004

          204 N St #2

          $729,000

          1/28/20

          1,002

          2

          2

          None

          2008

          5 Mohawk St #3

          $700,000

          1/31/20

          1,034

          2

          2

          None

          2015

          774 E 7th St #2

          $690,000

          1/3/20

          974

          2

          2

          None

           

          287 Old Colony Ave #2

          $679,000

          1/21/20

          849

          2

          2

          1 Garage

          2019

          180 Gold St #5

          $665,000

          1/21/20

          819

          2

          1

          1 Tandem

          2013

          29 Vinton St #6

          $665,000

          1/30/20

          1,209

          2

          2

          1 off-street

          2004

          146 M St #1

          $660,000

          1/16/20

          796

          2

          2

          None

          2019

          315 W 3rd St #2

          $628,000

          1/31/20

          965

          2

          1

          None

          2011

          486 E 3rd St #12

          $559,000

          1/29/20

          902

          2

          1

          1 off-street

          1993

          34 Mitchell St #2

          $577,500

          1/21/20

          708

          2

          1

          2 Garage (tandem)

          2005

           

          772 E 6th St #1

          $575,000

          1/6/20

          883

          1

          1

          None

          2019

          175 W 7th St #2

          $575,000

          1/3/20

          754

          2

          1

          None

          2017

          350 W 4th St #410

          $560,00

          1/17/20

          753

          2

          1

          1 off-street

          1987

          271 K St #3

          $486,000

          1/23/20

          1,288

          3

          2

          None

          2000

          17 Lennon Ct #17

          $438,000

          1/10/20

          780

          2

          1

          Common

          1978

          21 Wormwood St #306

          $329,000

          1/6/20

          630

          1

          1

          None

          1999

           

           

           

           

            

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