The real estate market is constantly changing and evolving. Having knowledge of the residential marketplace and its various facets is critical for sellers and buyers alike. Brent Carrier is a real estate developer with years of experience that translates into his useful tips and advises that clients relate to. In his annual market forecasts, Mr. Carrier predicts trends that he believes will drive the New York City real estate market in the upcoming period and lays down the latest facts and figures. His forecast also explores new rising neighborhoods, follows the movement of NYC’s rental and sales market, and reviews the latest technology used in NYC’s real estate market.
Based on Brent Carrier’s analysis of New York City’s development over the past period, summer is one of the busiest seasons for real estate sales. As the weather gets warmer, real estate season kicks into high gear. The main emphasis on the summer home buying and renting season, has its roots in practical reasons, as most people hope to move when the weather is warm and school is out. When it comes to transitioning kids into a new school, this is the prime time for changing locations, as it fits nicely with the school calendar.
We all know that time is money, and this is especially true for a metropolitan city like New York where almost everyone depends on public transportation. The lack of transportation will transform New York’s neighborhoods and transportation will rule the city’s real estate conversation. As part of their effort to lure new tenants, landlords have come up with some pretty creative offers. Namely, in the years behind us, landlords have been paying broker’s fees and offering one or two months’ free rent. This year they’ve changed the offer and stepped up their game with things like annual subscriptions to services like Netflix and Amazon Prime, free Uber rides. In fact, landlords are ready to do just about everything that can help them stand out, without actually lowering the rent. As pricey new developments flood the housing market, landlords are slowly running out of options to keep them in the lead.
While rents continue to rise, more people are turning to homeownership. As we’re entering the second half of 2017, it’s becoming obvious that this is the year when many renters will become homeowners. Those who have saved for a down payment will take advantage of the slow sales market. People that are planning to live in those apartments for a longer period of time, will probably see the benefits of this investment way sooner than others have in the past. Currently, the average rent price in Manhattan is around $3,417 a month, in Queens $3,088 a month, and in Brooklyn $2,800 per month.
At least one thing hasn't changed in NYC’s real estate market. Affordability remains to be one of New Yorkers biggest concern. This year, for the first time ever, the average sales price for an apartment in Manhattan surpassed $2 million. If this is any indicator for what follows, 2017 will see average prices for condos drop for the first time in more than 5 years.
While most perks and discounts are concentrated in neighborhoods with new construction such as Queens, Brooklyn, Manhattan, other boroughs are yet to see development and price escalations. In 2017, a lot of expensive new developments have appeared in Long Island City and certain parts of Brooklyn, which has made some residents reconsider Manhattan as a renting option. With new hot neighborhoods emerging in New York, one thing is for sure, the migration will go in all directions. In these up-and-coming neighborhoods, most buildings are focused on delivering a lifestyle, so amenities will focus more on building-wide programing.