One rule of real estate always rings true, location, location, location. Perhaps the most important aspect about a property is where that property is located. In Massachusetts, there are cities and towns that are always going to be hot markets. Brookline, Weston, Wellesley, Belmont, Newton had busy real estate markets even during the mortgage crisis. Their relative proximity to the Boston, public safety, combined with a great school system has made them very desirable places to raise a family.
If you are from Massachusetts most people know where the desirable city and towns are located. Perhaps the biggest complaint is when we hear people express their distress of how they are priced out of their desired location. And the truth is people are being priced out of many of their desired towns. Low inventory combined with high demand has driven prices sky high in a lot of these communities. As a result, people are thinking about alternative approaches to buying a home.
One approach is buyers try to find the largest house they can afford and expand or renovate. This is generally a sound plan. However, when developers are buying houses for 600+ thousand dollars just to have the right to knock down a house and build a million dollar mansion it quickly kills that idea. Another approach is to figure out where is the next place to “pop”. That means what location is still somewhat affordable, but will likely to increase in value once you get there. Once the house increases in value you can sell and move to a more desirable town or you can sell for a bigger house in the same town. The equity will hopefully give you the dream home that you desire.
Predicting the next hot market at best is an educated guess. There are many factors that contribute to a town or city’s property increasing in value. Some of these factors include the economy, buying habits, municipal decisions and school progress. And with our educated guess we will be highlighting some communities that we believe have the best chance of increasing in value. This week, we are guessing Natick. Natick has a good school system and a growing economy. Natick has restaurants, malls and supermarkets. It has commuter rail service downtown, shuttle to Logan airport and enjoys quick access to Mass Pike and Rout 9. Natick is a town that is surrounded by communities people are being priced out of such as Newton, Wellesley and Wayland.
In some cases Natick’s house prices has risen by $100,000 in single year. Many people are starting to consider Natick which gives you more living square footage and outside space for your money. If you are planning on starting a family and being priced out of towns and cities you desire, you may want to consider Natick before it is too late.