These up-and-coming towns got a lot more expensive in the past year
Boston-area house hunters are expanding their searches in the pursuit of something more affordable as we head into 2016.
Boston-area house hunters are expanding their searches in the pursuit of something more affordable as we head into 2016, driving up prices in some middle-tier suburbs even as values stall or peak in some of their tonier neighbors.
While home prices across Greater Boston rose a relatively modest 2 to 4 percent in 2015, a look at the dozens of towns and suburbs ranging from the outskirts of Boston to I-495 reveals significant volatility, with some communities posting double-digit increases while other showed no gains or small losses.
In a role reversal though, some of the hottest towns now – at least in terms of rising real estate values – are the ones you may have only dimly heard about, while the blue-chip brands, so to speak, are lagging for a change.
While this shift is easiest to spot in the wealthy western suburbs, it can also be seen at work in towns across the Boston area.
“Relatively less expensive towns have been gaining ground on their more expensive neighbors,’’ Coldwell Banker’s Norman Holbrook wrote in a recent piece for MarketWatch. “This trend has led to a dramatic price appreciation of these relatively lower priced communities.’’
Just take the North Shore
Picturesque Marblehead saw its median price drop 1.6 percent, to $590,000, while quaint Manchester saw a modest but unremarkable 3 percent jump, to $783,500, according to Boston-based real estate publisher and data firm, The Warren Group.
Middling Danvers and Rowley, by contrast, racked up double-digit price increases in 2015. Danvers saw its median price jump 11.2 percent, to $405,000, while Rowley’s median price is now nearly $450,000 after a 12 percent increase.
A little further inland, Andover, one of the wealthiest towns in the Merrimack Valley, saw its median price edge down .6 percent, to $576,000, Warren Group stats show.
And what of next door Lawrence? The old mill city on the Merrimack River saw home prices jump 11.4 percent, to $210,000.
Moving west
Out on the I-495 belt, blue collar Ayer, home to Devens, posted a 10 percent in its median home price, to $315,000.
Next door, upscale Harvard took a 1.2 percent hit, lowering its median home price to $537,500, according to Warren Group numbers.
Lincoln saw its median price fall below the $1 million mark after a 9 percent plunge, while Concord ($883,500), fell 3 percent and Lexington ($925,000), fell 2 percent.
But just next door and down a price tier, Bedford ($646,000) and Wayland ($689,000) saw home prices shoot up 11 and 10 percent, respectively.
Close to home
Closer to Boston, Cambridge and Somerville also provide another tale of two cities.
Sure, Cambridge’s median home price rose 2 percent, pushing it past the $1.2 million mark, but how about Somerville’s 14 percent spike, to $625,000?
But even Somerville is now getting too rich for many buyers.
Next door Medford’s median price rose 7 percent, to $450,000. And one more town over, oft-overlooked Malden, basically Somerville before it became hip, posted a 10.6 percent increase, to just under $360,000.
Is Medford or Malden the next Somerville? Will Bedford someday eat Concord’s lunch?
Stay tuned, for there is never a dull moment in the lively world of Greater Boston real estate.
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