They’re few and far between, and some of these condos are not even downsizing .. They’re as big as some homes.”

Cathy Sousa

Realtor Cathy Sousa believes there’s a dividing line in the local condo market. Almost without fail, condos priced at less than $1,300,000 are selling quickly.

“Any of the condos below that $1.3 million marker are going fairly quickly, and for their asking price, if not more,” said Sousa, an agent with RE/MAX River’s Edge.

The potential buyers in the condo market are not a mystery. Empty-nesters and retirees who want less home and property maintenance typically gravitate to the many condo complexes throughout the East Bay. In many cases, they don’t even have to downsize.

“People are willing to pay for condos,” Sousa said. “They’re few and far between, and some of these condos are not even downsizing. Some of these properties can be more than 2,500 square feet. They’re as big as some homes.”

She cited many recent examples of how hot the market has been for condos. A unit in the Bristol Landing development, located just north of Roger Williams University, recently listed for $782,000. It had 2,900 square feet, plus a large, unfinished walkout basement, and it attracted multiple offers over the asking price. More than one offer included escalator clauses, where the buyers agreed to increase their offers, depending on what other offers were under consideration.

It sold for $807,000 within four days.

Across town in the North Farm complex, a unit hit the market with an asking price above $900,000. It had more than 2,000 square feet of living space, plus another 1,500 square feet in a walkout finished basement. It sold for $925,000.

Looking through the MLS (Multiple Listing Service) database, she easily found example after example of condominiums and townhouses listing and selling quickly, often for more than their list prices, in 2023. Another condo at Bristol Landing listed for $765,000 and went under contract for $805,000 in 13 days. Back at North Farm, a unit listed for $579,000 and sold for $610,000 in just three days.

Notably, at least half of these recent condo sales have been cash deals, meaning the buyers needed no bank financing — they paid in cash.

Plenty of equity

Because of the unprecedented surge in home prices in the last three years, many local homeowners are sitting on small fortunes of home equity. Their homes are worth far more than they owe in mortgage debt, if anything. These empty-nesters are the perfect buyers for the condo market, because they can easily sell their single-family homes, cash in the equity and potentially pay cash for their new condo.

Sousa has a short list of these potential buyers and gives them all the same advice — be ready to sell. If their home is in good condition, up to date and easy to show, then they can move quickly when new condos hit the market.

“I’ve been telling a lot of my clients to have their homes ready to go,” Sousa said. “There are a lot of people looking to downsize, or people looking for a place to hang their hat here in the summertime, while they’re in Florida or somewhere else in the wintertime.”