Massachusetts home mortgage rates are, on average, lower than the national rate. In contrast, the median price of a home in Massachusetts exceeds that of a home in other states across the nation. Because there is higher demand for housing and people generally earn higher wages in Massachusetts, home prices are driven up in comparison to other housing markets in other states.
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The 10 major cities in Massachusetts are Boston, Worcester, Cambridge, Brockton, New Bedford, Springfield, Lowell, Lynn, Quincy, and Fall River. Since 2000, cities like Boston and Lowell have seen drops in population, but Worcester is among the fastest-growing cities (5% since 2000) and is followed by Brockton and Quincy. Many of the smaller towns have seen adequate growth as well.
Growth in cities like Worcester can be associated with proximity to the Greater Boston Area. Because home prices in the outskirts and outlying cities to Boston are generally lower than Boston proper, while offering an easy distance for commuting, these cities are seeing substantial growth.
Other factors helping growth in the Greater Boston Area are tourism and seasonal residents, as well as a slowly growing development industry. It is also helpful that some of these 10 fastest-growing cities have been labeled as some of the most livable cities in the country. Population growth in Massachusetts is due to not only immigration but also internal migration, a noticeable trend of people choosing to move to less-populated areas of the state.
Massachusetts offers many different types of mortgages, and the rates depend on which type of mortgage is applied for. There are fixed-rate options as well as variable- or adjustable-rate mortgages. Interest-only and jumbo mortgages are other options as well. There are also various fees, which can include administration, appraisal, and processing fees among others.
Massachusetts is a recourse state, meaning the lender has a right to recourse after sale of a foreclosure. If the foreclosure sale amount falls short of satisfying the mortgage, the lender maintains the right to pursue payment of the remaining balance from the borrower. An example of this would be if the mortgage is for $130,000 and the foreclosure sale is $80,000, the borrower may still owe a remaining $50,000 to the lender. Borrowers can use a non-recourse clause in the mortgage contract, removing the borrower liability to recourse if a foreclosure sale occurs.
Understanding foreclosure law in Massachusetts is important for home buyers, as it can help them determine which type of mortgage loan and rate will be best for them. Trustees or non-judicial processes are used to handle foreclosure actions in Massachusetts.
Though the cost of homes, on average, are higher in Massachusetts, the low mortgage rates and variety of options make the Greater Boston Area one of the fastest-growing populations in the country.