4 ms·

> condos don't see similar appreciation It depends on where the condo is. My condo in Boston has increased in value 2.5 times in the 20 years I've owned it. My

by pivo 5y ago

> condos don't see similar appreciation It depends on where the condo is. My condo in Boston has increased in value 2.5 times in the 20 years I've owned it. My friend's home in a wealthy suburb of Boston increased by 40% in almost the same amount of time. That's taking into account the last two years of the pandemic where we saw housing price increases slow or stop in the city while suburban prices rose much more quickly. Before that, the difference in appreciation was even greater. My parents condo in Manhattan, which they bought 45 years ago, has probably appreciated close to two orders of magnitude.

acomjean 5y ago
I'm in cambridge MA and our condos are about the same appreciation, even though the building needs some love. I think overseas buyers, who like the fact that an association takes care of the repairs and services like these type of properties. Even those that moved and rented have ended up selling to those that have never seen the property except in photos. Our building has no rules about %owners living in the building so its gone from about 80% 20 years ago to 30%.
ab_testing 5y ago
I think this comment just proved that condos don't appreciate as fast as single family homes or townhomes. In certain cities in the US, single family homes have gone up 2.5x in the last 5 years & sometimes even less than that. Phoenix, Las Vegas, Miami, Mountain View are some examples
- seanmcdirmid 5y ago
  If you looked at appreciation over 20 years in those cities (sans Mountain View), it might come out to less than 2.5X even if the last 5 years it was, especially when inflation is accounted for. Phoenix in particular: https://i0.wp.com/arizonarealestatenotebook.com/wp-content/uploads/2018/09/2018-09-27-Real-Real-Estate-Prices-Phoenix.png?ssl=1 https://i0.wp.com/arizonarealestatenotebook.com/wp-content/u... This graph only goes up to 2019, so it is probably higher now, but that is one heck of a drop. Also, it isn't strange that a lower cost market appreciates faster than a higher price one. If say houses were $100k in Phoenix after the crash in 2008, now they are $400k, that is 4X! At the same time, a $1 million dollar house in Boston after the crash is only $1.4 or 1.5 million now, only 1.5X.

by pivo 5y ago

acomjean 5y ago

I'm in cambridge MA and our condos are about the same appreciation, even though the building needs some love. I think overseas buyers, who like the fact that an association takes care of the repairs and services like these type of properties. Even those that moved and rented have ended up selling to those that have never seen the property except in photos. Our building has no rules about %owners living in the building so its gone from about 80% 20 years ago to 30%.

ab_testing 5y ago

I think this comment just proved that condos don't appreciate as fast as single family homes or townhomes. In certain cities in the US, single family homes have gone up 2.5x in the last 5 years & sometimes even less than that. Phoenix, Las Vegas, Miami, Mountain View are some examples

seanmcdirmid 5y ago
If you looked at appreciation over 20 years in those cities (sans Mountain View), it might come out to less than 2.5X even if the last 5 years it was, especially when inflation is accounted for. Phoenix in particular: https://i0.wp.com/arizonarealestatenotebook.com/wp-content/uploads/2018/09/2018-09-27-Real-Real-Estate-Prices-Phoenix.png?ssl=1 https://i0.wp.com/arizonarealestatenotebook.com/wp-content/u... This graph only goes up to 2019, so it is probably higher now, but that is one heck of a drop. Also, it isn't strange that a lower cost market appreciates faster than a higher price one. If say houses were $100k in Phoenix after the crash in 2008, now they are $400k, that is 4X! At the same time, a $1 million dollar house in Boston after the crash is only $1.4 or 1.5 million now, only 1.5X.