If you’re looking to buy a home in Greater Boston, brace yourself: for the first time ever, the median price of a single-family home has surpassed $1 million, according to new data from the Greater Boston Association of Realtors (GBAR).
“It’s shocking, but it doesn’t surprise me,” said Claire Sedgwick, a renter living in Boston’s Back Bay.
With its rich history, top-notch schools, and beautiful neighborhoods, Boston has long been a sought-after place to live.
“It’s a beautiful place-there’s not one much better in the world,” said local resident Tom Quirk. He told WBZ in certain neighborhoods like Back Bay, the high price is fair. “Honestly, if you can find a house for $1 million, you got a bargain.”
According to GBAR, in June alone, the average sale price for single-family home reached $1,003,250. The cost rose 2.4% from May ($980,000) and 4.5% compared to this time last year ($960,000).
Competitive housing market
So, what’s driving the jump? Boston realtor Randall Horn says the price hike is due to too many people competing for too few good homes.
“One million dollars, it’s not what it used to be,” Horn said. “You used to think mansions, but the reality is, with today’s prices it’s so competitive for what’s out there, it’s easy for the prices to exceed $1 million.”
Economists say increasing the supply could bring prices down. That’s the goal behind a new Massachusetts law allowing people to build Accessory Dwelling Units on their properties.
It’s also what’s inspired the push to convert empty Boston offices into housing, an effort Mayor Michelle Wu kicked off this week.
Without more affordable options, Sedgwick tells WBZ she fears homeownership may not be in her future. “I rent. I don’t know anyone my age who does own a house,” she said.
