Affordable Housing a Good Option for East Boston Buyers

While East Boston has always attracted buyers to this corner of the city due to its affordability, there has traditionally still been room for “Affordable Housing” in our neighborhood.

Housing oftentimes built with deed restrictions, Affordable Housing makes it possible for first time homebuyers (usually this means a buyer who has not owned a home in the past 3 years) to purchase a home at a price that is below market value—developers of Affordable Housing offer housing to the public at prices that are below what one might find in the open marketplace. Because Affordable properties are priced below market value, they are usually purchased at list price—they can either be sold in a lottery or by a first come, first serve basis with a real estate agent.

In return for the benefit of purchasing a home below market value, a buyer oftentimes pledges to resell the property to the next buyer at below market value, too—oftentimes this translates into an increase in the home’s value of, at most, 5% a year. And if an owner puts any improvements into the home (hardwood floors, for example), the owner can usually add another 1% to that 5% annual increase in value. Buyers must meet certain income guidelines before purchasing an Affordable unit, and their income must be verified by city and state agencies prior to closing.

Affordable Housing is a great way for individuals to make headway in building equity at an affordable price. It is oftentimes a means to home ownership in a property that is either new construction or fairly recently built—properties that are generally in much better condition or bigger than a typical East Boston property offered at the same price.

Please check back as we continue to update you on East Boston real estate happenings. To see all our listings, or to search MLS properties, head to the Tony’s Realty Website.

Email Zaragoza with your questions or comments.

 .

Advertisements


%d bloggers like this: