4 under $300,000

A down market gives lots of opportunities to get into the game now and trade up later

A slow real estate market can bring out the bargain hunter in anyone. But while prices may be lower, what you get for your money varies a great deal from city to suburb and, in many cases, neighborhood to neighborhood. We did some shopping around to find decent properties you can get these days for under $300,000.

A sampling of what we found: A one-bedroom, brick-front condo on a tree-lined street in South Boston for $285,000. A soaring, sunny loft loaded with architectural detail in Chelsea for $275,000. A charming one-bedroom in a Victorian in West Newton listed for $285,000, and an updated two-bedroom in an established development in Duxbury for $289,900.

As always, location drives price, and proximity to the city often means smaller spaces with higher price tags. Don't expect much in the way of glitz. These are modest one-bedrooms tucked away in renovated two-families, loft spaces in up and coming neighborhoods, and shiny new units out in suburban complexes.

Still, many brokers say the plethora of condos priced under $300,000 offers buyers the opportunity to get into the game now and trade up later.

Though overall sales of condos have bombed, it does appear the lower-price units remain the most popular. For example, in five major eastern Massachusetts counties, the largest number of condo sales in April in any one category - 161 - were units in the $200,000 to $249,000 range, according to the Massachusetts Association of Realtors.

Overall prices have come down. The median price of condos through the first four months of 2008 is $265,000, down 3.6 percent from $274,950 at this time last year, according Warren Group, a real estate information firm. Closer to Boston, though, prices are up: The median price of condos listed for sale in downtown Boston and surrounding neighborhoods is $390,000, compared with $379,000 in April 2007, according to MLS Property Information Network.

"There is very usually limited inventory at this price point - especially when you get into the city," said Anthony Longo Jr., chief executive of Condodomain.com, an online brokerage. He said he was surprised to find 155 listed properties on his site between $119,000 and $300,000 in Boston proper.

"What tends to happen is investors gobble up these lower priced properties, but there seem to be more available in this price range right now," he said.

The problem, Longo said, is that properties listed under $300,000 in areas like Beacon Hill, the Back Bay, and the North End are often the size of a small European hotel room.

"I've seen gorgeous 400-square-foot properties in the Back Bay," he said. "Many buyers who really want to live in town think they'll be OK squeezing into such a small space. But what tends to happen is they realize they can branch out to the surrounding neighborhoods or the suburbs and get substantially more space for the same price. It's a trade off."

For instance, the one-bedroom in South Boston listed for $285,000 is on the small side - 556 square feet - but it's a new, top-floor unit with high ceilings, hardwood floors, and central air in a popular neighborhood. The condo is also within walking distance of the MBTA and the beach and just two miles from downtown.

Also listed for $285,000 is a condo in a West Newton Victorian where you'll get 1,000 square feet with a fireplace and porches in a desirable suburb on the Mass Pike. The condo has lots of charming details but has only one bedroom. It is, however, close to one of Newton's best neighborhood commercial districts.

If you're willing to cross the Mystic River to Chelsea, you can live in a hip, urban space at Spencer Lofts that offers plenty of soaring space, state-of-the-art amenities, and proximity to the city for $275,000.

Or, head 30 miles south to Duxbury and, for $289,900, you can have a spacious 1,424-square-foot condo in a sought-after seaside community with high ceilings, a private balcony, and stainless steel appliances.

Which choice is best depends on the buyer's lifestyle, be they empty nesters looking to downsize or young single people looking to build equity. But Darcy Bento, an agent with City Life Real Estate said most buyers who want to stay in the city are finding that the outlying neighborhoods have a lot to offer.

"I've had buyers looking in the South End in the under $300,000 price range, but then they'll cross the West Fourth Street bridge" to South Boston "and find they can have granite and stainless and everything brand new and still be in the city," she said.

Of course, there are exceptions to the rule. At some newer developments, you don't have to sacrifice space or amenities for a lower price point. In Dorchester, the School House at Lower Mills offers new units with granite countertops, stainless steel appliances, and high-end finishes starting around $229,900. On the Dorchester-Mattapan line, the new Olmsted Green offers sustainably designed "green" townhouse units starting at $299,000 - with decks and parking.

For many, buying a condo under $300,000 is an entree to home ownership, said Adam Rosenbaum, a broker with Century 21 Adams Realty in Arlington.

"It sure ain't like hitting the magic .300 average in baseball, but it can make you a player and get you in the game," he said. "A good number of buyers in this price range will likely be moving up in three to five years and probably will make out OK with appreciation. From a rental standpoint, it makes sense for a lot of people. Your mortgage payment can be as little as your rent and this way you get a chance to build some equity. You may not get a ton of space, but it's all yours."