Boston Metro multi-family real estate is looking bright for investors! Apartment rents have been on the rise for years in Boston, but double-digit rent increases are now taking hold in Quincy, Waltham, and Worcester. At the same time, we are seeing an influx of affluent renters who have kept vacancy rates low. Here are select points from recent articles in Boston Curbed, along with our insights!
According to the U.S. Census Bureau, the Boston Metro median household income was $85,691 in 2017, which is the latest figure available. This is $8,306 higher than median income statewide, and $25,355 more than the national median income. But the number of high wage earners in the Boston Metro has ballooned in recent years, with an 83% increase in households earning at least $150,000.
A perpetually-lean inventory of single-family homes has given rise to long-term, high-income tenants in the Boston Metro, which has supported the growth in rent prices. This has created a ripple effect of housing demand as commuters seek lower housing costs in surrounding communities. Here’s a sampling of multi-family rents:
- 1 bedroom apartment in Boston = $2,390 per month, year-over-year rent increase 3.9%
- 1 bedroom apartment in Waltham = $2,120 per month, year-over-year rent increase 15.8%
- 1 bedroom apartment in Quincy = $1,930 per month, year-over-year rent increase 12.9%
- 1 bedroom apartment in Worcester, $1,330 per month, year-over-year rent increase 12.7%
Given these trends, locations in commuting distance to Boston and Cambridge are primed for further rent growth. However, as a number of luxury apartment developments have reached completion in Boston, rent growth has slowed in some urban markets. Cambridge, Brookline and Newtown are showing neutral rent growth or slight declines.
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Whether you are thinking of buying or leasing Boston Metro commercial real estate, we can help you find the ideal property. Contact us today for expert guidance!