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MA

Buying a Home in Massachusetts

Complete guide to the Massachusetts real estate market

$600,000
Median Home Price
0.99%
Property Tax Rate
7,029,917
Population
Northeast
Region

Overview

Massachusetts anchors New England with Boston's world-class healthcare, education, and technology sectors. The state offers historic charm, coastal beauty, and some of the most prestigious institutions in the nation. High prices reflect strong demand and limited supply in a geographically constrained market.

Massachusetts Real Estate Market

Greater Boston is one of the most expensive markets in the nation, driven by biotech, healthcare, education, and tech industries. Limited housing supply and strict zoning keep prices high. Western Massachusetts offers more affordable options but fewer jobs. Cape Cod and the Islands are premium vacation home markets.

Property Taxes in Massachusetts

Massachusetts property taxes are above average but lower than some neighboring states.

Average effective rate: 1.23%

Annual tax on median home: ~$7,380

Residential exemption: Available in some municipalities for owner-occupied homes

First-Time Buyer Programs

MassHousing Programs:

  • MassHousing Mortgage - Below-market rates
  • Operation Welcome Home - For veterans
  • ONE Mortgage - For first-time buyers in specific areas
  • Down payment assistance available

Closing Costs in Massachusetts

Massachusetts closing costs are moderate to high, typically 2-3% of purchase price.

Common costs include:

  • Title insurance: Based on purchase price
  • Transfer tax (deed stamps): $4.56 per $1,000
  • Recording fees: Registry-dependent
  • Attorney fees: Required

Frequently Asked Questions

Boston's combination of world-class healthcare (Mass General, Dana-Farber), elite education (Harvard, MIT), thriving biotech, and limited geographic area creates intense competition for housing.

First-time buyers face challenges in Greater Boston. Many start in condos or look to smaller cities like Worcester or Providence, RI. Down payment assistance and first-time buyer programs help some qualify.

Yes, Springfield, Pittsfield, and the Pioneer Valley offer significantly lower prices. However, job markets are smaller and some areas face economic challenges. Remote workers can find excellent value.