Spring is OFFICIALLY here & with it, the real estate market that I anticipated in my last post is no longer a speculation (revisit it at Wintertime Market Update). So what IS happening in New York's Capital Region Real Estate Market this spring? A LOT!
Here are the details:
Is the market crashing? NO! Inventory is LOW! SUPER LOW!! This is a BIG topic of conversation & here are the numbers to back it up: On Feb 21st, there were 1510 residential properties seeking buyers. "We all" (i.e. our local real estate world) anticipated this number to climb as we moved into March which is the traditional start of our spring market. I enjoyed some time away in early March and came back to an even LOWER number of homes seeking buyers upon my return. Today, that number is 1277 (& drops to 912 when new construction is excluded). Consequently, in the presence of on-going buyer demand, multiple offers are in full force.
Why is inventory so low? In a nutshell, prices are up and so are mortgage rates. This causes those who might WANT to move to keep seated while the market happily welcomes those who HAVE TO move. Read that again... In general, this market situation boils down to want vs need & the related participation. Period.
Here is some information from Schenectady County (population approx 160,000) where I reside: Today, there are 72 residences seeking buyers. That's it. 72 houses. They range from $1500 (no, I didn't miss a zero) to $1,500,000. Average days on market are 70 (median 26.5) with an average size of 1864 sq ft and average asking price of $294,803.
It's definitely still a sellers' market as their are 238 properties under contract (i.e. pending). In comparison, they connected with their buyer in an average of 25 days (median 7), average 1651 sq ft, and had an average asking price of $243,733 which was approximately $4k less than the price they originally hit the market with. Price it correctly, and "they will come". And that holds true in ANY market.
What's it all mean?
It's a great time to be a seller BUT proper preparation & pricing is still key to getting a great market response (i.e. buyers won't fight over a house that isn't worth it).
It's still a frustrating time to be a buyer. Buyers need "tight" collaboration with an agent that understands how to navigate multiple offers.
Not convinced it's all real? Here is some follow up from my desk from earlier blogs:
1170 Regent St.... CLOSED. 4 days on market. Sale price 102% over asking.
20 Old Fort Rd... CLOSED. 4 days on market. Sale price 100% of asking
73 Railroad Place... CLOSED. 2 days on market. Sale price 102% of asking.
And most recently:
29 Charlton Rd... 49 showings, multiple offers, under contract in 5 days.
135 Goldfinch Lane... 35 showings, multiple offers, under contract in 5 days.
What's next? If only I had a crystal ball! One thing is for sure: real estate is always interesting and people will always WANT & NEED housing.
Buyers: if you can afford the payment, find the house. Rent NEVER adds to YOUR portfolio. You can't wait though. Know your finances, secure an agent to work with, & schedule visits as soon as a property peaks your interest.
Sellers: It's a great time to capture huge equity from your house. Yes, the buying side can be a challenge but, if you're itching for life's next chapter, this is a great time to go capture it.
Curious about what your scenario might look like? Let's talk!
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