October Treats
October 23, 2021
We’re three weeks into Q4, and it’s likely that the momentum and pulse of the rebounding 2021 market will carry forward into the rest of this year. What are we seeing?
● As expected, after Labor Day and the Jewish holidays, a wave of new inventory appeared to the significant tune of 2,088 total new offerings across all product categories and price segments. Surprisingly however, supply dipped in the weeks following, and resale stock has become short again, frustrating buyers who were looking for more options and prompting multiple offers. New listings were down nearly 30% YOY in Q3, forcing buyers to act quickly and helping to drive sales.
● The New Dev sector has had a stellar third quarter, inking more than 500 signed contracts and exceeding $2 Billion in transaction volume, outperforming every other quarter since 2018. New Development Managers throughout the city are reporting a resurgence at the high end especially, with velocity picking up in the $10M+ range, many confessing they haven’t seen a market this robust since the heydays of 2013/2014.
● With travel bans being lifted for more than 30 countries next month on the 8th of November, we look forward to the return of international buyers and foreign investors. For more than 18 months, NYC real estate has depended largely on a domestic buying audience. We welcome travelers and tourists from around the world to tour our real property options of condominiums and townhouses.
● The rental market has been constricting and tightening since the beginning of the 2nd quarter. With inventory levels extremely low, landlords are not renewing discounted pandemic leases, and in some cases, they are, in fact, reviewing multiple bids and applications.
● Steadily rising rental prices and continued historically low mortgage rates have pushed first time buyers to purchase homes in the under million-dollar category, which accounted for 47% of Q3 sales. Homes priced between $3-5M made up 39.5% of sales last quarter.
● Properties spent an average of 182 days on the market in Q3 from first list date to contract signed, a 12% decrease from last year.
● To view the complete Q3 report, click here.
● Attention NYC real estate shoppers who are looking for value: now is the time to buy while mortgage interest rates remain low.
Consider these outstanding condo options....
Shirley Hackel, NYRS®
shirley.hackel@compass.com | (914) 980-0371