{November 2021} Lower Inventory Causing Price Increases
We are going to get our Christmas tree tomorrow. I didn’t grow up with the tree-decorating tradition, but it is certainly a beloved family activity now! Every year we get a new ornament that reminds us of the year that went by. With the holiday spirit in full swing, I would like to take a moment to thank you for reading for the past year and wish you a very good holiday!
The most notable impression I have from November is that bidding wars are more common. Up till now, our market has indeed been very busy, with a lot of listings going into contract every month. But price increase has been slow-going. But lately, my fellow agents and I notice that inventory starts to feel tight. When buyers want to go out, there aren’t as many places to see. And more and more often, we start to see listings get multiple offers. For the first time in 4 years, total inventory level dips below the long term equilibrium of 7 months, to 6.3 months. Last time it was this low, it was January 2018. It is possible that seasonality plays into the lower inventory number with some sellers pulling listings off market for the holidays. We shall see if this lower inventory persists into the new year.
Good Read
This is the time of the year for… tips for your building staff! Read here for a broad guidance on how much to give.
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.