Mid-Summer slow down has hit NYC RE!
The supply of units has taken a major hit as large amounts of them have been taken off the market due to the summer season. We will be in this lull of low supply until about mid-September when the fall season begins and the market picks up again.
For Manhattan, as an example, the supply of apartments should be at 1,164 in July but is down to just 803 units available. Summer vacation beach plans, heatwaves and the like, have taken a toll on the amount of business that is occurring.
Couple the above with lower buyer demand and you have what we are now experiencing.
Now what does this mean for you?
For sellers- If you are not planning to take your listing off the market and retry in the fall, what is your game plan? You and your agent must have a creative way to refresh the listing without taking it down to attract buyers. It could be re-doing the images, taking new videos, price cutting effectively, and even finding new advertising avenues. The time to decide is now.
For buyers- Opportunity is out there due to low competition! Sellers in the market today are serious sellers and therefore the opportunity to get a home with a great price and terms is within reach. Do not let this time pass you by just because it is summer.
For renters- Rents continue to skyrocket in the city and we are now approaching what the experts call a "rental fatigue cliff" where buying, even when expensive, makes more sense than paying another hefty sum in rent. Have you been feeling fatigued? If so, what are your plans to deal with it?
A side bar for foreign buyers- The US dollar has weakened further and depending on your currency exchange, has given US housing a price cut. Explore this attractive option of purchasing for less while you still can, let's talk. Link
Are you thinking about making a move this mid-summer
or just watching the market for now?
Interest rates are currently at 6.58% according to Freddie Mac's US weekly avg. on a 30-year fixed. Click here.
Contract Numbers:
Manhattan had a total of 844 contracts signed.
Brooklyn had a total of 558 contracts signed.
