As the summer months draw to a close, many homeowners may be concerned about how the market may be cooling off; which may limit the opportunities to sell a home or to move up to an upgrade. Indeed, the bull market for residential real estate in New York City had to slow down at some point. Between 2009 and 2013, the market experienced steady price appreciations after the great depression.
But for those who believe that the opportunity to upgrade has passed, a recent nydailynews.com report suggests otherwise. This post will highlight some important points to consider.
Interest rates are still favorable – Indeed, the state of the economy suggests that the Fed may raise interest rates this fall, but even if they are increased, rates are still near historically low levels. This facilitates interest (in homes…that is); and if loans remain affordable, deals will still be out there to be found.
Demand still exceeds supply - Yes, prices have dropped in nearly every price point in the market, from the oversupply in the luxury condo market to the price changes in the submarket, there is still an abundance of demand for suitable housing throughout the city.
We saw it coming – Market corrections are common in every industry, and real estate is no different. Every 6-7 years prices level off from steady appreciation. However, analysts insist that the market is not collapsing or crashing. Sooner or later, prices will begin to climb again.
In the meantime, an experienced real estate attorney can help buyers make the best of the market.