In the coming months, even more available homes for rent and for sale will be added to an inventory that's already at a record high. So, it’s no surprise that all the year-end data and numbers are pointing to more choices for buyers and renters, and frankly, more price adjustments, days on market and heartaches for sellers and landlords.
We’ll get into the year-end numbers in a second, but let’s talk about the first days of 2019, and what we’ve seen so far. All this talk of a “buyer’s market,” “lower prices,” and “record inventory” is bringing buyers out to look at inventory. A lot of buyers. It’s been busy, actually. Each of the Hoffman Team’s first few open houses of the year had nearly 20 buyers through and as many as three offers in the first day!
Of course, I think there’s going be further normalization of the market, but we also think there could be some bright spots to 2019 for sellers and landlords moving product off the shelf. Interest rates are at a six-month low, and many predict the Fed won’t raise rates much more in order to keep the overall economy more fluid. This will certainly help keep buyers active and in the market. Having a smorgasbord of choices will do that, too. There’s currently enough inventory to last six years of consumption at the current rate, and that will certainly bring buyers into the market and to the negotiating table.
But, the overall YOY numbers aren’t pretty. According to The New York Times, Manhattan’s up 18 percent, Brooklyn’s up 21 percent, and Queens is up 35 percent in terms of overall inventory from this point last year. And, overall prices are down. According to Compass data, closing were down almost 15 percent in 2018, and the median price dipped below $1 million for the first time since 2015 according to Miller Samuel.
While, yes, these numbers are scary to some and attractive to others, many view them as healthy for the overall housing market in NYC. Overall, I expect 2019 to be a good balance between buyer and seller, renter and landlord, with both benefiting from a normalization of our dynamic, evolving market
History Lesson/Fun Fact:
January is named after the Roman god Janus, who was always shown as having two heads. He looked back to the last year and forward to the new one.
January 9 - Feb. 8, 2019
This New Year, the infamous opera Carmen is coming to the Metropolitan Opera House. A dramatic tale about a hot-tempered woman who seduces a corporal, the opera is heralded as a classic. For ticket and showing information, click here.
Martin Luther King, Jr. Commemorative March
January 21, 2019 (10 a.m. to 2 p.m.)
Celebrate the life and work of MLK, Jr. by joining 8th graders from Manhattan Country School on the Martin Luther King, Jr. Commemorative March from Eleanor Roosevelt Memorial to their Upper West Side school, with stops along the way. Click here for more info.
NYC Restaurant Week
January 21 - Feb. 8, 2019
This month, the bi-annual Restaurant Week returns with deals on 2-course lunches and 3-course dinners at 380+ restaurants. Note that Saturdays are excluded, and Sundays are only included for certain participants. For restaurant and reservation information, click here.
Best of Brooklyn Food & Beer Festival
January 26, 2019
Explore new bites and beverages at the Brooklyn Food & Beer Festival, which offers unlimited Brooklyn craft beer tastings, food for sale from 20 Brooklyn Chefs, and music from curated DJs. Hosted at Industry City, you can purchase tickets here.
Tips, Tricks & Real Estate News
The Smartest Money Resolutions You Can Make in the New Year
Resolutions aren't just for healthy diets and gym memberships. Organizing your finances may be intimidating, but setting clearly defined goals will help ensure your financial success. Get a head start with this checklist!
The Most Expensive New York Neighborhoods in 2018
The list of the top 50 most expensive New York City neighborhoods in 2018 has just been released. Unsurprisingly, Manhattan neighborhoods effortlessly steal the top three spots. Find the full list of neighborhoods as well as the supporting market data in this article by Curbed.
AirBnB’s 2019 Must-Visit List: The New Hot Spots
Looking for a new destination for your next getaway? Break the mold this season by traveling to one of the newest hotspots uncovered by AirBnB. Check out the complete list of trendy destinations here.
13 Real Estate Pros Share Advice for Industry Newbies
Whether you're considering a career in real estate or simply starting your own business, making a name for yourself takes time and practice. In this article by Forbes, 13 real estate pros, including two of our very own Compass agents, lend their advice for building a successful empire.