{October 2021} Is A Slow Down Coming to NYC
It’s 5pm on 11/1. I should have been done with this monthly note, but I am just starting. Because today two deals blew up simultaneously after I had spent a lot of time and energy. It was getting too much even for me, when my clients’ emotions ran me over before I had a chance to take care of mine. I spent much of today talking to myself and to my clients to pick all of us up. It’s so true that nothing is easy in Real Estate!
In October, the NYC real estate market continues its busy pace. As we approach the holiday season, will the market slow down this year? 2021 has no doubt been one of the busiest years on record. Year to date, the transaction volume is over 60% higher than that of 2019 and 2018. Most of the purchasers are local New Yorkers buying to live here. This is a testament to how well supported the NYC market is. Prices are probably higher than 2019 levels, and almost as high as 2018 levels. Will the price recovery continue? On the positive side, the borders are opening up soon, which means more international buyers. And only 30% of the office workers have returned to their desks. On the negative side, rates are moving higher. But I think as more people continue to move back to the city, we have more reasons to believe that the recovery will indeed continue.
We have all heard of the almighty CO - Certificate of Occupancy. Why on earth is that important? Read here to find out.
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.