The East Boston real estate market has been crazy lately, especially for three-family buildings. Traditionally, most buyers have been owner occupants intending to live in one floor and rent out the other two. Lately, some real estate speculators, developers and investors have perceived East Boston as being “hot,” and this has increased the number of people looking at properties. This can be helpful if you are a seller and it can be helpful if a developer or investor buys a property and improves it. New facades, apartment layouts, and physical improvements can only help a neighborhood and improve the quality of life for those who live in the properties. But it can make it quite difficult for an owner occupant looking to purchase a first home. It can also be hurtful for a neighborhood if a speculator purchases a property simply to wait for it to appreciate in value while not making significant improvements.
Some recent Tony’s Realty sales and listings give a glimpse of what is happening in the Jeffries Point neighborhood. In January, we listed 74 Everett Street for $379,000. This was a decent three-family of average size that needed a lot of renovation. Over two dozen parties viewed the property and we received multiple offers, two from speculators / investors and one from an owner occupant. The house went under agreement quickly and sold to an owner occupant for $377,000. Last December, a smaller three-family on Everett Street sold for $317,000. This also was purchased by an owner occupant. More recently, 34 Cottage Street, a completely renovated, beautiful brick three-family went on the market for $549,000 and had over 15 interested parties view it on one day of showings. It had multiple offers and went under contract in one day.
Currently there is no shortage of local renters wanting to buy properties in East Boston. There is also a plethora of investors, developers, and speculators who have a more recently developed enthusiasm for East Boston. When properties are listed, it is almost impossible to make individual appointments for viewers, so instead, they are more commonly presented in “group showings.” It is not unusual for properties to receive multiple offers, especially within the first few days of being listed. Sometimes these offers are at or above asking price. This frenzy of buyers has created a sense of confidence among sellers who are “watching the market” and sometimes reluctant to “sell their property now” if they think the market is “improving.” The result has been a complete lack of inventory, and sadly, not enough properties available for many home buyers who want to make East Boston their home.
Please check back as we continue to update you on East Boston real estate happenings. To see all our property for sale listings, or to search MLS properties, head to the Tony’s Realty Website.