Bay State Housing Is Cheaper, But Not For All
Home prices may have declined in Massachusetts, but housing affordability is still a real concern according to a new report that Banker & Tradesman reporter Ian Murphy wrote about.
The median price for single-family homes sold through September was $285,000, The Warren Group reported today. That’s $75,000 lower, or 21 percent below, the median price that was recorded for homes sold during the first nine months of 2005 – the year home prices peaked in Massachusetts.
Still, the Greater Boston Housing Report Card’s researchers note that lower- and moderate-income individuals, including younger workers, are having trouble keeping up with housing expenses and moving to cities where housing costs less. One reason is that home prices rose so sharply in Greater Boston from 2001 through 2005 and the price drop the region and state has experienced over the last four years hasn’t been as steep as in other parts of the country.
Another reason is that Boston-area rents have actually risen 11 percent since 2005. These are sobering facts to keep in mind when listening to all those who oppose the construction of new lower-priced housing.