Title: Summer Forecast: Buyers are Back, and Sellers Remain Active
Meta: It’s summertime and, whether you want to buy a house or put yours up for sale, it’s the perfect time to dive into Westchester County’s real estate market!
When people hear “New York,” they almost always think of The Big Apple — New York City. How could you not? The city is home to more than 18 million people! But, that number could go down significantly as city dwellers want to leave high-density areas in favor of suburban neighborhoods, thanks to the COVID-19 pandemic that’s gripped the nation.
So, what does that mean for the rest of the state? Will Westchester experience an inventory shortage because urbanites are scooping up all the available properties? And if so, how will this affect housing prices going forward? Let’s take a look at some predictions for New York’s real estate market!
People are growing restless, especially if they are renting a tiny apartment! Also when you take into consideration the average monthly rent costs them anywhere from $1,700+ in the most affordable neighborhoods to $5,600+ in more expensive areas. Instead of continuing to pay that much in rent, folks are choosing to look outside of the metro areas. Plus when you factor in that many employers have granted many employees the option of working from home, city life isn’t what it once was cracked up to be.
Suburban life, especially in Westchester county is becoming more and more popular, so houses are spending less time on the market. However, keep in mind that since there may be a second wave of the virus hitting the country, sellers may be reluctant to put their homes on the market in fear being infected with COVID (or possibly infecting others). For those who do list, they could receive multiple offers because of the shortage of inventory.
Real estate agents have had to think on their toes and come up with a new way of doing business. This meant there were less in-person meetings and showings. Instead, agents have embraced video conferencing via programs like Zoom or Facetime to chat with clients, loan officers, and other important players who take part in the transaction. Closings can even be done remotely!
Once the pandemic is over and things return to some semblance of normal… It’s highly likely that these tools will continue to be used.
On average, the typical house in suburban New York can be over $400,000. Unfortunately, because tens of millions of people have lost their jobs due to no fault of their own. The resulting loss of employment can make it significantly more difficult to be approved for a loan. Not only that, but lenders are also increasing eligibility requirements, such as having a larger down payment or having a higher credit score. So while the interest rates are amazingly low, not everyone is going to qualify.
No one knows when the pandemic will officially come to end, but we can’t put our lives on hold. There will always be a reason to find new housing and there will always be people looking to list. Yes, it may be true that real estate will slow down in some areas. Yet, when interests are so low, it may be the right time for you to consider your options.
We recommend that you continue to stay on top of the latest COVID-19 safety regulations in your area. Talk to your real estate agent (if you have one) and they’ll be able to guide you through these unprecedented times.
For more on COVID-19 and the real estate comeback, check out HomeLight’s Top Agent Insight Survey from Q2.
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