The Boston Globe recently published an article titled, "Under $1 Million, Homes Shockingly Scarce." Scott Van Voorhis based his story on an interview with Elaine Bannigan, owner of Pinnacle Residential Properties, who released a first quarter multi-year comparison of the single family residential real estate market activity in Massachusetts and in the western suburban towns of Wellesley, Needham and Weston.
In her full report, Ms. Bannigan cites several factors for this steep decline in the number of available properties priced below $1M in these west suburban towns.
- There has been a sharp increase in demand from growing segments - first time, boomerang, international buyers.
- Up until Q1 2014, the trade-up market was slower; many people were cautious about taking on more debt and, instead, chose to stay put. Their existing houses would have added to the under $1M supply.
- Baby boomers who now live in these suburbs in homes worth less than $1M do not have nearby, affordable, and convenient living choices. Staying put and aging in place is their alternative to relocating to another area entirely.
- Last, builders are scooping up many lower priced homes and replacing them with new homes that are much more expensive. Young couples are shut out.
Find out what's happening in Wellesleyfor free with the latest updates from Patch.
Should you have any questions, please feel free to call Pinnacle at 781-237-5000.
