Is it a buyer’s or seller’s market in New York City? Let’s take a look at one of the most densely populated areas in New York. Manhattan is a very historical spot and a major financial hub on the east coast. It is also a place filled with luxury properties that attract thousands of people to the area every year to live. However, it was quite difficult to find an affordable residential or commercial property to buy, rent, or lease. Many insiders in the real estate market state that the real estate market in New York, or more specifically Manhattan is changing rapidly.
Buyer’s Or Seller’s Market
First, let’s take a look at the present situation in Manhattan, a very popular area in New York. For years, the price to live in the area was skyrocketing. Now, things are changing rapidly. Recent statistics demonstrate that a deep plunge in sales of luxury homes and apartments occurred. Even the sales of affordable properties plummeted. The fact is that this is the biggest drop in sales since the last recession. Tevfik Arif It appears that many buyers are very reluctant to pay the high prices for real estate in the city. In fact, most buyers are haggling over the price for those luxury properties. Therefore, many real estate insiders suggest that it is a buyer’s market.
Real estate insiders report that the market is experiencing a major decline in sales across the board. This decline occurred in luxury properties, one bedroom apartments, and studio apartments. Prices for luxury to studio apartments are leveling off sharply. Buyer’s are very aware of the status of the real estate in areas like Manhattan. This has led to a new era of the choosy buyer. People are simply thinking twice about purchasing a property too. Property ownership has lost most of its charm due to high taxes, limited tax deductions, higher mortgages, state levies, and local levies that make property ownership a very expensive deal. Bayrock
Leaving The Big Apple
Slower sales threaten the real estate market, leading to a major decline in all areas. In addition, many young millennial workers are leaving the area because of the high tax rates and the decline in tax deductions. Reports show that those millennial aged workers are looking for alternative, more affordable properties in areas outside of the city. It was also reported that many are considering moving to another state because of the high property taxes. Real estate insiders also state that the new tax reform bill will also add to the number of people fleeing the big city, looking for more affordable properties. This cuts across all areas in residential and commercial properties.
Millennials Moving To Urban Suburbs
The millennial generation is responsible for making major changes in the real estate market. They are not like the previous generation that flocked to major areas like Manhattan. This generation is looking for more affordable properties in an urban setting. Consequently, insiders are calling this the new urban suburbs. These are neighborhoods in suburban areas that are less expensive, but share certain traits with urban areas. For example, the locals are able to walk to their supermarket, retail stores, parks, schools, or work. Real estate insiders state that this is the new hot real estate market that is emerging in New York.