Under $250k any Massachusetts single family house with yard (Boston: renting, insurance)

[OutdoorLover]

Originally Posted by Martha Anne

Thank you!! The second house is perfect, IMHO.

I agree, that place looks in outstanding condition.

[gf2020]

Originally Posted by Martha Anne

They can pay a mortgage equal to the rent. About $2500 month.

Right, a mortgage of $400,000 at 3.5% for 30 years equals a monthly payment of $1800. Add $250-$500 per month for property taxes in this price range; still less than what they are paying in rent now.

[massnative71]

Originally Posted by gf2020

Right, a mortgage of $400,000 at 3.5% for 30 years equals a monthly payment of $1800. Add $250-$500 per month for property taxes in this price range; still less than what they are paying in rent now.

It's also about the money down. Many people do not want to put less than 20%, and even going with a 3 or 5% you still have to plan on 10K-15K in closing costs which goes up along with the price of the home. When the rates normalize again and the market corrects, one who puts little down will be upside down on their mortgage (and could be for years and years). That's not a desirable position to be in. That's why I say anybody who can wait to buy should.

[gf2020]

Originally Posted by massnative71

That's why I say anybody who can wait to buy should.

That's bad advice. I hope you weren't giving that same advice 5 years ago.

[massnative71]

Originally Posted by gf2020

That's bad advice. I hope you weren't giving that same advice 5 years ago.

5 years ago is not today. I stand by the advice I give today, which is that it's a great time to sell and AWFUL time to buy. Market across the state is way overvalued at the moment, due to temporary factors that are guaranteed to subside.

[gf2020]

The buyers are looking for a $250K house, there is not a lot of downward opportunity for a property like that. They sound like a stable, married couple looking for a house to live in. Home ownership, not rentership, is their best long term strategy - even in an overpriced market.

I'm putting an alarm in my calendar to revisit this thread in 5 years. The Zillow Zestimate of my house is $703K today and that sounds pretty accurate. The house across the street recently sold for $699. We purchased it for $525K in 2005, at the peak of the last boom market. Let's see where it is 5 years from now.

[redplum33]

Originally Posted by massnative71

5 years ago is not today. I stand by the advice I give today, which is that it's a great time to sell and AWFUL time to buy. Market across the state is way overvalued at the moment, due to temporary factors that are guaranteed to subside.

When you need a house, you need a house.


Why hasn't that 259k house in Longmeadow sold? Because of the solar panels?

https://www.zillow.com/homedetails/1...56183326_zpid/

[brightdoglover]

Originally Posted by redplum33

When you need a house, you need a house.


Why hasn't that 259k house in Longmeadow sold? Because of the solar panels?

https://www.zillow.com/homedetails/1...56183326_zpid/

Realtor.com has that house as "contingent."

While people are willing and interested in living outside the usual suburbs and the city itself, maybe they are not open to every town and area further away.

[BosYuppie]

New Hampshire.

[massnative71]

Originally Posted by gf2020

The buyers are looking for a $250K house, there is not a lot of downward opportunity for a property like that. They sound like a stable, married couple looking for a house to live in. Home ownership, not rentership, is their best long term strategy - even in an overpriced market.

I'm putting an alarm in my calendar to revisit this thread in 5 years. The Zillow Zestimate of my house is $703K today and that sounds pretty accurate. The house across the street recently sold for $699. We purchased it for $525K in 2005, at the peak of the last boom market. Let's see where it is 5 years from now.

Of course there is downward pressure on a property that is today asking $250K, because when the market corrects $250K will then be able to buy you something better or in a more desirable area. The owner of that house will no longer be able to get that much for it, when you can get more for the same amount of money. You need to remember that while $250K is cheap for a single family in Mass., that is still a lot of money and one needs decent income and credit to buy it at least as a first timer. It is beyond reach of the average person in a place like Athol or Gardner.