2022 Market Recap
2022 was an unforgettable year with the return to pre-pandemic activities and the most competitive real estate market we’ve seen in the last 40 years. With that, our team still supported 187 clients in $45M worth of real estate transactions in addition to expanding our brokerage to NH and adding a commercial real estate team. We also had an amazing opportunity to work with multiple professional athletes from the Celtics and Bruins, along with representing the Mark Wahlberg backed F45 Training for a commercial lease in South Boston.
Mortgage rates were the big story with average rates increasing by 3.31 points, a greater than 100% increase from the year before. This was the leading cause for competition to slow, inventory to stagnate (mostly for overpriced homes), and sale prices to stabilize. It took many sellers a few months to realize that the days of receiving 20 offers over list price with favorable terms, were over (at least for now).
Greater Boston rental prices increased by another 7% in 2022 after a 4.5% increase in 2021. The increased cost of rent is another factor driving competition to buy. Vacancy rates are at a record low making is hard to find rentals, while being lucrative for real estate investors.
Picture Note: The backyard oasis of a luxury condo sold by our team in South Boston. High end outdoor spaces were at a premium in 2022!