Stats for 2019’s first quarter show that as inventory continues to expand, transaction volume and sales prices are declining. Despite the recent highly trumpeted $238M condo purchase at 220 Central Park South, New York’s housing market remains sluggish. The good news is that mortgage rates are holding and even dropping, and despite an increase in the mansion tax, residential buyers retain the upper hand.
First introduced in NY State’s legislature five years ago, a pied-à-terre tax is receiving renewed attention as a direct reaction to the recent $238M sale at 220 Central Park South. The state seems to be scrambling to fund coffers to pay for a host of capital projects, following New York’s ill-fated Amazon loss and delayed efforts to monetize the legalization of marijuana and casino gambling.
Are the challenges for homeowners who need to buy and sell at the same time any different in a fast seller’s market with limited inventory than in a slow buyer’s market with abundant supply? A strategic approach to a simultaneous closing of your current home and subsequent purchase is essential in any market.