Boston Condos for Sale and Apartments for Rent
Why are Apartment Rents so High?
Well, it’s not just Boston Beacon Hill apartments with high rents. In the video, below CNBC looks into what is causing apartments rents to be on the rise throughout the United States.
Boston Beacon Hill Apartments for Rent
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The Boston region has some of the highest rents of any major metro area in America. There are multiple reasons for this.
High barriers to entry in the Boston condo sales market.
The region’s Boston condo sales market is also one of the most expensive in the nation. The median asking prices for houses and condos in downtown Boston, for instance, run to well over $1,000 a square foot each. In surrounding communities such as Brookline, Cambridge, and Somerville, it’s not all that much cheaper. So a lot of people who might buy in the Boston area rent instead.
Plenty of apartment renters with money to spend.
The region has a sizable share of rent-burdened households, wherein tenants pay at least 30 percent of their income in rent. But the area also boasts a sizable proportion of residents for whom $2,500 a month for a one-bedroom is not a big deal. Sometimes being one of the nation’s economic drivers has its drawbacks.
Tight apartment inventory.
While Boston-area apartment construction has boomed in recent years, it’s still not enough to satisfy demand. We should note, too, that inventory is tight in the sales market, making it that much more difficult for prospective buyers—often current tenants—to jump in.
