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Boston is the 7th ‘hottest’ market, but it’s cooling off, report says

by Emily Johnson, Taylor Johnson Public Rrelations

A nationwide housing shortage has caused home prices to rapidly rise in many popular markets, and Boston has been no exception. While home prices and activity continue on an upward trend, Boston’s housing market is actually cooling off, according to Realtor.com.

Looking at property searches on its website and how fast homes are coming off the market for each U.S. market, Realtor.com came up with a list of the 20 “hottest” housing markets. Boston made the list at No. 7, which seems impressive but actually represents a drop off from previous rankings.

In May, Boston was considered the third hottest housing market, behind only Silicon Valley hotspots Vallejo and San Francisco. Those cities are unchanged at the top of the ranking, but Boston feel four spots in this month’s report.

That’s the biggest drop of any city ranked in Realtor.com’s top 10 and is the fourth-biggest change of any city on the list. Detroit had the second-biggest change of any city, as it jumped 12 spots to become the sixth-hottest market.

Realtor.com did not say why Boston dropped on the list. Home prices in the area continued to increase through June, and new construction is starting to pick up in the area. Average rent prices are dropping, however, suggesting that peak demand for housing may have come and gone.

Check out the list of the 20 hottest housing markets below.

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