Address Newsletter
Our weekly digest on buying, selling, and design, with expert advice and insider neighborhood knowledge.
Home Buying
Mortgage payments in Greater Boston still rank among the highest in the nation. But a shift has taken place. No longer are prospective buyers getting caught up in the frenzy of bidding wars and stretching their purchase price and mortgage payment to the maximum they can afford. Instead, real estate professionals say that buyers are taking a more cautious approach today, thinking twice about what they’re willing to pay.
According to data recently released by LendingTree, the average mortgage payment on home purchases fell 2.4 percent in 2025, from $1,990 in 2024 to $1,942 per month (for principal and interest only). Still, home affordability remains a challenge: LendingTree reported that one in 10 borrowers are significantly cost-burdened, with 10.2 percent of borrowers nationwide spending 40 percent or more of their income on new mortgage payments.
According to the data, Greater Boston ranked seventh for metros with the highest average new mortgage payments in 2025. The average mortgage payment in the area was $2,784 a month, and 31.4 percent of borrowers spent at least 30 percent of their income on their mortgage payment.
Of course, if you add the other costs that get rolled into mortgage payments — property taxes, home insurance, and private mortgage insurance — that monthly housing cost goes up even higher, and that doesn’t even include utilities and homeowners association fees. While LendingTree couldn’t provide a total monthly housing cost for the Boston metro, WalletHub recently released data on the states where people spend the most and least for housing, and Massachusetts ranked third on that list, with average homeowners there paying about 34 percent of their income on housing costs, second only to Hawaii and California.
“Boston’s core issue is simple: too many people are chasing too few homes,” said Matt Schulz, LendingTree’s chief consumer finance analyst. “The area has struggled with housing supply for years, and that is unlikely to change anytime soon.”
The good news is that despite the price pressure and challenge of bidding wars, local experts say that buyers today are not stretching their budgets just to get into a home and then find that they became cash-poor in the process.
“People today are a little more strategic,” said Melvin A. Vieira Jr., a real estate agent with Re/Max Real Estate Center in Boston. “Buyers are more educated, and they’ve heard about the bidding wars of the past, so they’re making reasonable decisions rather than emotional ones.”
Consider Sarah, 36, and Mike McCracken, 38. When they were searching for their first home, they were approved for a $900,000 mortgage and could have easily afforded the four-bedroom, three-bath Colonial in Sudbury that they fell in love with. But Sarah was nervous about owing more than $650,000. So, they expanded their search and found a smaller Cape Cod-style home in Walpole, which they purchased for $575,000.
“We could have made the numbers work with the original house,” said Sarah, who has since become a real estate agent for Coldwell Banker. “But being more conservative and making a decision that made sense for the present, rather than a hypothetical future, allowed us to have a smaller mortgage payment and keep other costs lower so we could travel when we want to and were able to do a renovation when we needed to. Giving ourselves the flexibility to make decisions as they came up because we hadn’t locked in that higher payment was the best decision.”
Our weekly digest on buying, selling, and design, with expert advice and insider neighborhood knowledge.
The World Cup economic windfall boosting Boston gives rise to a question: Could the Hub host the Olympics?
Certainly Bostonians have more than risen to the occasion in terms of welcoming international visitors to our city and showing them a good time (and vice versa, Tartan Army). But it takes more than great hosts and a convivial atmosphere to pull off an epic sporting event.
It takes money, lots of it, political transparency, and a process open to public scrutiny and feedback. In other words, no, we couldn’t.
Public reception to the 2014 Olympics bid was tepid at best, as it would entail multiple construction projects. And when big construction projects are presented in Boston, taxpayers get suspicious. Big Dig, anyone?
Boston 24 announced it estimated the Games would produce at least $4.8 billion in revenues from television broadcast rights, ticket sales, corporate sponsorships and other revenues, the Associated Press reported. They assumed nearly $4.6 billion in costs, including $176 million for a temporary Olympic Stadium, $90 million for the athletes’ village, about $754 million to build other Olympic venues and another $132 million to rent other locations.
They reportedly announced all this to answer critics who said the privately funded Boston 2024 withheld details of the bid to prevent the public from assessing whether the Games could be staged, as promised, without the need for taxpayer money.
We learned the answer to that soon enough.
In this case, as the Herald reported that year, details from Boston 2024’s so-called bid book indicated that plans sent to the U.S. Olympic Committee called for the Hub to fund “land acquisition and infrastructure costs” at Widett Circle, where a temporary Olympic stadium was being proposed. It came after months of promises that the group planned to run a privately funded Olympics.
“They’ve been saying for months, ‘No taxpayer (money),’ ” said Evan Falchuk, a vocal bid critic who pushed for a statewide ballot question on hosting the games. “Then you read what they told the USOC. … It’s a devastating blow to their credibility. There’s a reason why voters don’t trust what they’ve heard and (Boston 2024 has) got a lot of work to do to earn that trust.”
And all this talk of money came before any cost overruns made an appearance. London’s budget for the 2012 Summer Games escalated by about 300%, ending somewhere in the $14 billion range. What were the chances we’d fare any better?
No wonder Bostonians gave the Olympics idea the cold shoulder.
But what of the city’s World Cup success story? For starters, Gillette Stadium is already built, and the only large element requiring a cash infusion was the MBTA, which shelled out $35 million to upgrade Foxboro Station in advance of the Cup. They’ll make a nice chunk of that back, as the T spiked round-trip Commuter Rail ticket prices between South Station and Gillette Stadium for fútbol fans to $80.
In this case, Bostonians are on the winning side, reaping benefits from free-spending (and thirsty) visitors, and reveling in the good vibes.
It would be great for the city if megaprojects, or even minor ones, came with the guarantee of financial transparency before shovels hit the dirt. Optimists should look at White Stadium before calling it a day.
Michael O’Neil is on the hunt for the next John Hancock.
As many Boston sports fans know, the insurance company first sponsored the Boston Marathon 40 years ago, helping usher in the modern professional era of the race as well as tens of millions of dollars in community fund-raising each year.
O’Neil wants to make a similar leap for the race he runs, the Boston Triathlon. This will be the first year without a naming-rights sponsor after nine years with Ameriprise Financial-owned Columbia Threadneedle Investments. O’Neil is seeking a successor that can help make an impact on the race the way Hancock once did with the marathon, a sponsorship role now played by Bank of America.
“We’re looking for that next transformational partner that wants to do something like that,” O’Neil said.
The 18-year-old triathlon draws nearly 2,500 athletes to Carson Beach in South Boston each August, for sprint and Olympic-distance triathlons, and also features free kids’ races the day before at the same location; Amazon has been a big sponsor for the “Kids Day” events.
O’Neil says he would like to extend the race beyond loops in South Boston to showcase more of the city and boost tourism; the Meet Boston tourism bureau is also among the race’s sponsors. Another hope of O’Neil’s: to continue community efforts that he and his race management firm, Ethos, undertook with support from Columbia Threadneedle, including donations to Boston Medical Center and the city’s “Swim Safe” program to provide swim lessons for kids. (O’Neil started an affiliated nonprofit to help expand this community work in 2024.)
He expects the race’s naming-rights sponsorship to cost “in the mid-six figures” annually.
“We’re over this hump now, after 18 years, we’re an institution,” O’Neil said. “We’re seeking a Boston-based company, that’s headquartered here or has a large presence here, that wants to make an impact on the community. … We know how to do that.”
This is an installment of our weekly Bold Types column about the movers and shakers on Boston’s business scene.
Jon Chesto can be reached at jon.chesto@globe.com. Follow him @jonchesto.
Although it is just June 22, it’s certainly starting to seem like the Boston Red Sox could end up being sellers later on this summer when the 2026 Major League Baseball trade deadline gets here.
Boston took two out of three games from the Seattle Mariners over the weekend, but still finds itself 13 games under .500 at 31-44. Right now, Boston is six games out of an American League Wild Card spot as well. Boston needs a long winning streak to turn the tide. If not, the club will certainly trade pieces away. The conversation has gotten loud enough around the team that Red Sox starter Sonny Gray said he “would be open” to having a conversation about waiving his no-trade clause if someone from the club approached him about it to Tim Healey of The Boston Globe.
“If someone came to me from the Red Sox and made a decision that that’s the direction that this team was going to go, I would be open for a conversation,” Gray said to Healey. “Whatever happens from then, only time will tell. But I would be open for a conversation.
“Holding veto power is ‘an earned thing’ and means a lot, Gray said. He negotiated it into the three-year, $75 million deal he signed with the Cardinals heading into 2024.”
When it comes to Gray, he has been a major addition for Boston so far this season. He has a 3.12 ERA in 13 starts to go along with a 55-to-17 strikeout-to-walk ratio in 69 1/3 innings pitched. Gray is also 8-1 on the season. Even in a campaign full of losses for Boston, Gray has been able to consistently be a stopper for the club.
If he were to become available, he would be an intriguing, although imperfect trade candidate. From a talent perspective, he’s awesome and would help a contender. But from a contract point of view, he has a $30 million mutual option for the 2027 season with a $10 million buyout. Mutual options rarely get picked up. The buyout is very high and could be a barrier. That will be a bridge to cross later on, though. What’s important to note right now is the fact that Gray is “open” to a conversation about a trade. It doesn’t mean that it will happen, but it’s possible.
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