{April 2019} Market Improves...Still A Buyer's Market
The New York real estate market stays busy in April. Activity levels remain elevated although prices do not improve. Many buyers are out there looking and many offers are being made. But the offers are like the turtle hatchlings - it is a very tumultuous path to a fully signed contract for many of them. This is understandable because the market has many factors at play. Here are just a few:
-Positives-
- Economy is growing nicely with comfortable inflation
- Rates are stable to lower
- Rental market has roared back after 3-4 years of decreasing rent
- Some submarkets like Williamsburg has seen its prices increase
by ~10% this year
-Negatives-
- Higher mansion tax in effect in July
- NYC loses some population to lower tax states last year probably
due to the tax reform
- Inventory continues to increase
We think prices will stay depressed until new construction inventory is absorbed just like what the rental market experienced in the last 3-4 years.
Many of us are familiar with the LEED certification, there is now something called a Well certification that evaluates the buildings’ wellness. Read here!
The NYC real estate market was the tale of two cities in October. Total transaction volume ticked higher, even though rates moved higher and sentiment was tense. Most of our new clients were understandably quiet. But quite a few of our repeat clients, the real estate veterans, were busy putting deals together.