In September, we explored some of the most iconic and beautiful townhouse styles lining the side streets of New York City. This month, we’re shifting gears to examine what it might cost to make one of these architectural gems your own.
You don’t need to be a real estate expert to know that the Federal Reserve made waves on September 18th by lowering interest rates for the first time in over two decades. So why have mortgage rates continued to rise since then?
Two key market dynamics are at play in the current marketplace: the anticipation of lower interest rates and a wave of summer price drops. The former is expected to stabilize the latter, and there are implications for both buyers and sellers.
As we approach the end of Q2 2024, the Manhattan real estate market presents a tricky landscape. Optimism and opportunity coexist alongside uncertainty and hesitancy where some properties attract multiple offers while others languish without much interest. Consider these four factors that contribute to this complex climate.
We’re in the middle of the spring buying season, and luxury home sales for this year, so far, are on a par with the number of sales for the same period last year, with one exception. While the number of new development sales has come down, largely because of limited inventory, high-end new development sales have continued to set new price records throughout the city. With strong demand for new development in all price ranges, showrooms are buzzing with activity in Manhattan and Brooklyn. Here’s a look at some notable properties.
Contracts signed are always the best real time measure of market activity, and there’s been an encouraging uptick in signed contract volume since the start of 2024. As residential real estate regains strength, we’ll know soon enough whether Q4 2023 was the nadir of our post Covid market. Similarly, it will take a bit of time to see how buyers, sellers and agents adjust to recent changes and focus on buyer agency commissions.
Restaurant Week is upon us once more, as New York City's eateries unite for a culinary celebration. This winter for nearly three weeks beginning January 16th and ending February 4th, more than 550 restaurants are providing discounted rates and prix-fixe menus for breakfast, lunch or dinner. With prices starting at just $30, it's a carrot that's hard to resist. Explore some of this year's lineup.
Highlighting Last Quarter’s Prevailing Trends. If you have questions about your own property or local neighborhood, don't hesitate to reach out. Here’s a summary of key points along with some commentary:
New York City’s residential real estate market in 2023 was mostly about recalibration and resilience. Despite the year’s challenges posed by banking industry shakeups, spiking mortgage rates and uncertain global political and economic landscapes, the city's real estate sector remained stable. Near the start of the year in February, appraiser Jonathan Miller forecast that this year would be one of disappointment and predicted, “Sellers are not going to get the price[s] they wanted … and buyers aren't going to get meaningful discounts.” Following are a few noteworthy market dynamics.
As a real estate agent with more than 40 years of transactional experience, each year I represent as many buyers as I do sellers, and I’ve been extolling the benefits of buyer agency representation my entire career. It’s never made sense to me when buyers choose to be unrepresented — the financial and emotional stakes are just too high. The recent Sitzer | Burnett class action suit and October verdict provides reason once more to opine on the significant value buyer side agents bring to real estate transactions.
As Q3 2023 ends, it’s apparent that mortgage interest rates will stay higher longer than was expected. Nonetheless, the autumn real estate season is gaining momentum, and buyers are returning to the marketplace--some enthusiastically and others with a bit of lingering trepidation and caution. Over the course of my four-decade tenure selling luxury real estate, I have been fortunate to forge close alliances with scores of discerning buyers.
Twice a year, in winter and summer, New York City’s restaurants join together in a dining extravaganza. Restaurant Week now stretches nearly a full month. This Summer from July 24th through August 20th, more than 550 restaurants are participating, offering reduced prices and prix-fixe menus for breakfast, lunch or dinner and sometimes all three.
As we transition into the second half of 2023, a seasonal summer slowdown is upon us. The definite lull is dramatically different from the robust activity of the post pandemic summers of 2021 and 2022. Today’s sellers are frustrated by fewer showings, silent open houses, and no offers, not even low, embarrassing bids.
In New York, we’re back to pre-pandemic levels, having regained the acknowledged 8-12% drop in property pricing from 3 years ago. This year, we’ve managed to avert disasters, but it was a helluva roller coaster ride!
ChatGPT, or Generative Pre-trained Transformer . . . is a powerful tool which pushes the boundaries of what AI can do and makes advanced AI technologies accessible to different audiences and industries. . . . The new technology is stunning, stupendous and slightly scary.
It would be good if we could come together as an industry to make some changes to this process without having to legislate, blending the talents of experienced residential brokers and transactional attorneys along with the bet practices of managing agents and councels who represent co-ops. What say you?
Goodbye 2022. We are ready for 2023! We’ve lived through considerable challenges these last three years with inflation in the forefront running at a 40-year high, and Covid hangovers splicing into a variety of flu and mystery viruses.
In January, following a record setting 2021 post Covid recovery, I wrote that Manhattan real estate was poised for a strong 2022. Sales volume last year totaled $30B—6% greater than the previous record set in 2007. During the first half of this year, sales volume reached $15.6B, the highest half year mark in a decade.
In the last 30 days in the residential resale market, there’s been a steady rise in the number of price reductions. Listing supply has increased slightly, but that may ebb as we move further into the summer months. Contract activity has been relatively steady, despite the spreading uncertainty and unease created by a confluence of unmitigated factors, namely rising interest rates (up .75% yesterday with more hikes to come), the ongoing war in the Ukraine, out of control inflation and stock market volatility.
Are anxiety and uncertainty creeping into our marketplace this quarter with the current macroeconomic and geopolitical concerns?
The burst of new listings we were expecting to begin mid-January never materialized. As a matter of fact, the continuing low supply of properties is pretty significant. Here’s what we are seeing.
The Manhattan residential real estate market continued its upward trajectory at record levels in Q4.
Who would have thought that two years after Covid-19 emerged, the global pandemic would still be front and center in our lives? Along with virus mutations, uncertainty has returned as our status quo. Holiday parties have been scratched to minimize exposures; block-long lines surround test centers; a reopened Broadway is balancing frequent cancellations as actors or crew test positive; travelers fly double-masked.
Sometimes you need a velvet rope to foster demand and create buzz and exclusivity. Remember the red velvet barrier in front of Studio 54 in the late 70’s? How cool was it when the big burly bouncer out front nodded that you could enter and join the other disco party-goers? When applied to real estate sales, velvet rope marketing is about creating demand by limiting availability to achieve a premium price.
● 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.
In uncertain times, when world events and macro outlooks are dire, there’s no better urban center to invest in than New York City. Our residential market is leveling to be sure, but we’re holding our own. In fact, there’s opportunity, and smart home shoppers are buying.
What are we seeing?