12-08-2012 08:54 AM
I apologize if this question is a little too specific for this forum but I'm trying to figure out this market.
I just moved to Boston and am trying to decide whether to rent or own. I need to live within 30-40 minutes of MGH (by public transportation) and have found that reasonable apartments are all at least $1600/month. As a result, I feel like I should be paying a mortgage and building equity. The issue is that I can probably only afford 1 bedroom/1 bath condos in the Cambridge area and maybe 2 bedroom/2 bath places further out in Malden, Melrose, etc. I have the impression that the market is rebounding here and that prices will rise, possibly making it worth it for me. Does anyone have a feel for whether 1 bedroom/1 bath places will move in this market? Likewise, is it possible to sell in Malden/Melrose? I noticed that there are far more units for sale in those areas, which gives me pause since it would be harded to sell with a lot of inventory. I'll probably need to resell in 3-5 years. It is just a matter of whether it is worth it or not.
Thanks for your thoughts.
12-08-2012 05:20 PM
30-40 minutes out via public tranist (i.e. the T) would include cities/towns south of Boston on both the Red and Orange lines as well. If schooling for kids isn't an issue then Quincy and Braintree are viable options too.
Prices never crashed here like they did in other regions. We had a slow-downa nd minor drop but nothing like cities like Phoenix or Tampa saw. Somerville seems to be the briight spot for condo living but personally, I wouldn't buy anywhere in greater Boston right now with a plan on selling in 3-5 years.
Run your calculations vs. renting but make sure you include realistic buying and selling costs in the numbers. Seems to me that unless you think there is going to be a 20-30% increase in prices, you'd end up losing $$ in the deal.