Among the cases I examined, there was a couple who moved from a single-family home in West Cambridge to a condo while organizing their retirement funds. I was reminded that even within the same city, circumstances can vary greatly depending on the neighborhood. Cambridge has particularly high single-family home prices due to its proximity to the Massachusetts Institute of Technology and Harvard University.

The difference is stark when viewed in numbers. According to data from the local real estate association as of the end of 2025, the median price for single-family homes in Cambridge reached $2,505,000, while the median price for condos was around $975,000. By early 2026, the market price for median condos stabilized at about $870,000. This means that single-family homes are roughly two and a half to three times more expensive than condos. With such a price difference, moving to a condo can free up funds for retirement living expenses.

Of course, condos come with monthly maintenance fees, known as condo fees, which are similar to HOA fees. The median condo maintenance fee in Cambridge is $371 per month, ranging from $250 to over $700 depending on the building's quality. It's worth noting that higher-end buildings tend to have higher maintenance fees, so condos are not necessarily always cheaper.

Heating costs cannot be viewed separately for Cambridge; they must be considered in the context of the entire Boston area. This winter, Eversource gas rates increased by 13 percent, adding an average of $41.24 to household bills, and National Grid has also applied for a rate increase. Electricity rates from both companies have risen by around 5 percent. Single-family homes, with their many walls and windows, tend to experience greater heat loss, so even with the same rate increase, the perceived cost may feel significantly higher than for condos.

Property taxes in Cambridge are particularly low compared to the surrounding area. For the 2026 fiscal year, the residential property tax rate is $6.67 per $1,000 of assessed value, which is about half of Boston's $12.40. Seniors aged 65 and older with an income not exceeding $20,000 for individuals and assets excluding their home not exceeding $40,000 can receive a $1,000 senior tax exemption. However, it's important to note that the income threshold is set low, so not many households actually benefit from this exemption.

It is worth emphasizing that conditions vary by neighborhood even within Cambridge. Areas like Kendall Square, where new condo developments are clustered, tend to have higher maintenance fees, while older neighborhoods like West Cambridge or North Cambridge, which have many single-family homes, do not have maintenance fee burdens but may incur individual maintenance costs due to the age of the buildings. Whether choosing a condo or a single-family home, the actual perceived costs can vary significantly depending on the neighborhood.

Active senior communities, which require residents to be 55 and older, are more commonly found in the suburbs, slightly away from downtown Cambridge. If you want to maintain a lifestyle close to the city, general condos may be a more realistic choice, while those seeking management and community activities should consider looking into senior communities in the suburbs. Comparing with nearby towns like Burlington, which have lower property tax rates, can also help in deciding whether to continue living in Cambridge.

Cambridge is a city with a significant proportion of commercial real estate due to the concentration of universities and biotech companies. This allows it to maintain one of the lowest residential property tax rates in the area. However, the consistent demand for single-family homes keeps prices from dropping significantly, so it is safer to consider both the purchase price and taxes rather than making a hasty judgment based solely on the low tax rate.

Ultimately, in Cambridge, the advantage of low property tax rates coexists with the burden of excessively high single-family home prices. With the same budget, condos may provide a better option for leaving more funds available, even when considering maintenance fees. Tax and maintenance fee structures can vary by city, so this article is not investment or legal advice, and consulting a professional before any actual contracts is recommended.