Happy mid-May! While April showers produced an array of stunning flowers, they also produced a distracted market with Easter, Passover, and school holidays.
Despite two global wars, high inflation, sticky interest rates, and intensifying political divisions, April proved yet again just how resilient the NYC real estate market is.
As we approach the midway mark of this year’s traditionally active season—spring, it is important to note where this market has come from. The fact is, 19 out of the last 21 months have seen below-normal deal activity.
However, markets are undoubtedly in a better place today than five or six months ago, as contract-signed activity has started to pick up in certain segments of the market.
It's become increasingly unlikely that the Fed will reduce interest rates this year. As a result, mortgage rates pose a potential threat to the depth and duration of seasonality.
Inventory, however, is now at seasonal levels, and buyers are seeing discounts of just under 6% from the original asking price.
Advice for Sellers:
Make your critical decisions early and be more aggressive with price reduction strategies in your attempt to stimulate a market response before the active spring season winds down.
Advice for Buyers:
Buyers are facing a neutral market climate with negotiable sellers, decent inventory, and a recovering pricing environment. If you're looking, it's an opportune time to buy.
Have a wonderful rest of Spring 2024!
