How is the New York Housing Market Doing?
Serious buyers are still buying...
The New York housing market is doing well, but we are seeing some softening. The good news is that serious buyers are still buying regardless of the mortgage rates as they know they can re-finance. We still have a supply problem, which means that most areas will not see equity losses on their homes. In fact, we will still most likely see homes appreciate in value over the next year. Signs of a recession will be seen in some markets more than others-- but there is not a bubble waiting to burst (like in 2008). We just don't have enough inventory for a burst. So, how is the New York housing market doing?
Serious buyers are still buying regardless of the mortgage rates as they know they can re-finance.
It's not all doom and gloom in the New York City real estate market. The number of people buying homes is still on the rise, but at a slower pace than before. Most buyers are still willing to buy, but they're waiting for the right deal. There is also a growing trend among buyers in this current climate: they are willing to wait until rates decrease further before making their move, or even biding their time until an opportunity presents itself where they can re-finance into a better loan rate later on.
We still have a supply problem, which means that most areas will not see equity losses on their homes.
If you're planning on selling your home anytime soon, this can be frustrating because it means that you may not get as much money as you would like. On the other hand, if you're looking at buying a house in New York or Connecticut, this is great news! You'll find yourself competing against fewer buyers in an increasingly competitive environment where sellers might be willing to negotiate on price even more than usual. We've seen this trend throughout much of America recently: as long as demand remains high and supply stays low (or goes down), prices will remain steady and sometimes rise very quickly depending on location and property type.
In recent years we've seen some softening due to increased mortgage rates; however most markets still see healthy demand relative to supply which keeps prices stable or rising slightly each year.
we will still likely see homes appreciate in value over the next year.
Signs of a recession will be seen in some markets more than others-but there is not a bubble waiting to burst (like in 2008).
- There is not a bubble waiting to burst.
- We just don't have enough inventory for a burst.
- The new market is allowing more buyers who are willing to re-finance later, the chance to buy a home without a bidding war, which is a huge advantage.
However, if there's anything we can predict with certainty about real estate markets it's this: nothing lasts forever! So even if you're feeling confident about your ability to pay off any mortgages from appreciation gains if it turns out differently than expected down the road--which isn't likely given how tight our inventory levels are currently--you should still consider getting pre-approved before putting yourself into contract today!
The housing market has slowed down slightly. We are seeing homes sit for a longer period (two weeks instead of two days), and we are seeing some markets soften a little.
Conclusion
Overall, we are still seeing a strong market in New York. The demand is still there and the supply is improving. Buyers are not being priced out of the market-- they can still afford to buy as long as they are willing to re-finance later when rates go back up again. If a buyer wants to buy now while interest rates are low, then they can do so without having to worry about losing money on their investment down the road because of higher rates later on down the road when it comes time for them re-finance their loan again.
