Housing
This section of the BDN aims to help readers understand Maine’s housing crisis, the volatile real estate market and the public policy behind them. Read more Housing coverage here.
Real estate in Maine’s largest city has become increasingly more expensive in recent years, partially due to a rise in luxury homes in Portland’s downtown.
Online property listening websites show a smattering of multimillion-dollar condos in the heart of Portland, many of which were built or renovated within the last few years. Some high-end developments hit the market but haven’t been completed yet.
Aside from changing the landscape of downtown Portland, a rise in luxury homes signals a shift in the demographics of those who want or need to live in the heart of the city. It also points to how home values in the area have jumped in recent years.
Median home prices in Portland have risen from nearly $336,000 in September 2019 to more than $559,000 last month, according to Zillow.
Despite the high price tag, condos of this caliber are being snatched up by many different types of buyers, such as retirees who are looking to downsize but stay close to family and the amenities downtown Portland has to offer, said John Hatcher, CEO of the Hatcher Group Keller Williams Realty, based in Portland.
In some cases, buyers choose a downtown condo to use as a seasonal property, as they don’t have to worry about maintaining it while they spend their winters somewhere warmer, Hatcher said.
“You lock the door and leave,” Hatcher said.
Luxury condos also appeal to out-of-state buyers, especially those from larger cities where mutli-million asking prices are more commonplace, said Harry McMann, a sales associate for the Flaherty Group in Westbrook.
“If you’re coming from Boston or New York, $1 or $2 million is going to get you a lot more in Portland than what it’d buy in those bigger cities,” McMann said.
While Portland has gained attention — and new residents — because of its culinary offerings and other benefits, Hatcher said most people buying high-end real estate have some other tie to the state.
For example, someone may buy in Portland to be closer to their children who settled in Maine after attending college locally. Others may have grown up in other parts of the state and moved to Portland in their adulthood.
Regardless of who buys the recent swell of luxury units, there’s little indication that development will slow or prices will drop in Northern New England, including Portland, McMann said. That’s because there’s still demand for this type of housing from people who can afford it.
“There’s more money around post-Covid — people are making more money and there are more high-paying jobs here, which is driving a lot of it,” McMann said. “Portland has been put on the map over the last 10 to 15 years, and that drives real estate prices. A lot has changed in this town.”
Here are a few examples of some luxury condos available in downtown Portland.
246 Eastern Promenade, $3 million
This two-bedroom, three-bathroom condo on Portland’s Eastern Promenade is part of a 13-unit building that’s slated to be finished next fall.
With an asking price of nearly $3 million, the unit offers slightly more than 2,100 square feet complete with a private deck, large windows, custom kitchen and bathroom cabinets and high ceilings.
In addition to access to a parking garage, the building offers residents access to a private, climate-controlled storage area.
The development’s location is close to coastal walking trails and dozens of cafes, shops, bars and restaurants scattered throughout Munjoy Hill and the East End.
387 Commercial St., $2.9 million
This two-bedroom, three-bathroom condo offers nearly 1,700 square feet of living space for an asking price of $2.9 million.
The unit’s other amenities include a gas fireplace, hardwood floors, water views, a private deck, and high-end appliances and fixtures, including a wine refrigerator.
One spot in the building’s parking garage is included with the unit, and a second one can be bought for $35,000.
The building, called Hobson’s Landing, was built in 2024 and sits across the street from Becky’s Diner, one of Portland’s longtime eateries. Residents can find a fitness room, dog wash, clubroom, a shared workspace, among other benefits.
Residents are within walking distance of Portland’s Old Port, which holds some of the city’s most well known restaurants, bars, shops, galleries and more.
2 India St., $2.4 million
With an asking price of slightly less than $2.4 million, this three-bedroom, three-bathroom condo is one of only three units in the building.
The 2,055-square-foot unit has access to a private elevator, high-quality finishes, heat pumps, a large kitchen island and one parking space in an adjacent lot.
The building sits on the corner of India and Commercial streets in downtown Portland near popular shops, restaurants, green spaces and the ferry terminal to Peaks Island and Little Diamond Island.
