By Gazette Staff
Following a slow winter season, this year’s spring real estate market in Jamaica Plain looks a lot like last year at this time, with tight inventory in the single-family, condominium, and multi-family sectors. The big difference is that prices are higher — the median sales price for a single-family home in JP increased by 11.4 percent (and for condos by 5.7 percent) in the past year — with many properties selling over their asking price. The spring real estate season accounts for 70 percent of all real estate sales in a calendar year.
“People love JP, with its beautiful quality of life,” said Constance Cervone of constance.cervone@cbrealty.com, who pointed out that the luxury market of single family homes in the $2-$3 million range remains strong.
“There is more inventory for rental units as compared to last year,” said Rob Oteri at JP Property Management, “but prices are higher, anywhere from $50 to $250 per month.” One factor influencing the increase in rental rates has been the recent increase in property taxes across the city.
All of the real estate agents interviewed for this article agree that this is still a seller’s market.
“Pondside and Sumner Hill are seeing the highest values in Jamaica Plain,” said Janis Lippman of Ellen + Janis @ The Denman Group | Compass, who stressed that properties must come on the market at the right price.
In terms of available properties for sale, Lippman said multi-family buildings are very rare on the market, followed by single-family homes and then condominiums.
Another reason for less inventory in the market is that many potential sellers are unwilling or unable to sell because they have mortgage rates that are five years old and that are still in the two to four percent range, as compared to the almost six percent range for a new mortgage today.
Ken Sazama of Sazama Real Estate pointed out that another potential factor influencing the low inventory is uncertainty about the U.S. economy. A recent national poll revealed that consumer confidence has fallen seven points in the last few months to levels not seen since the height of the pandemic in 2020.
Rachael Kulick from the Insight Realty Group said that she is getting a lot of rental activity. She also noted that she is seeing more single-family and condominium listings hitting the market, as well as an increase in multi-family listings. “People are looking at their options up to the last minute,” Kulick said.
“However, they still have concerns over the national economy,” Kulick added.
On the fringes of the market are the new Accessory Dwelling Unit (ADU) law. When the concept first came out, the new dwelling unit had to fit within the house’s existing footprint. But in the last couple of months, new regulations have eased the zoning restrictions for an ADU.
John Maxfield of Maxfield & Co. provided his top three pieces of advice for potential home-sellers before listing their property: Make sure that the yard is neat and trim (as this is the first thing that a potential buyer will see); make sure that the bathrooms are in good shape; and list the property at the appropriate price.