Continuing to buck the national and statewide trends, the downtown* Boston condo market is holding strong.  According to the Listing Information Network (a Boston MLS and data collection firm), median prices are up 4.9% in the 3rd quarter 2008  over the 3rd quarter 2007.  See graph below:

What's remarkable about this is, although there were a number of super-exclusive high end sales included in this data from the Mandarin Oriental in the Back Bay that closed in the 3rd quarter, even when those sales are removed, the median sale price is still up 3.1%.  So the price increases have occurred over a large portion of the market and in many distinct neighborhoods.

Of course, looking at the above data we are talking about an increase over 2007 Q3 only, and it is important to consider that citywide prices have remained relatively flat since 2005.  The graph below provides a little clearer look at that:

Nonetheless, having flat prices through the entire real estate market "crash" and holding prices 20% above 2003 levels is a remarkable feat.  It is just is another example of how desirable a city Boston has become.  A word of warning: 4th quarter data will be truly telling.  That is when a lot of the effects from the more recent economic and credit crisis will show up.  I don't expect a major drop based on recent activity but there will be an impact.  Check back for more data soon.

*"Downtown", in this report, is made up of the following 12 neighborhoods: Back Bay, Beacon Hill, Charlestown, Fenway, Leather District, Midtown, North End, Seaport, South Boston, South End, Waterfront, and West End.  I will try to break down the report by neighborhood over the next week or so to shed more light on some of the individual neighborhoods.