If you're interested in purchasing property in New York City, now may be the time. A report from July 6 says that the current real estate market has taken a plunge, so bidding wars and cash deals are becoming less common. Since the market has become less urgent, sellers are having to reduce prices more than in 2016.
Despite that, cooling market conditions don't necessarily mean that you'll get a good deal on a piece of property, though you may if you are careful about your purchase. Manhattan homes sold for around 6 percent less than their previous sale prices one year ago, which is a significant dip in price for some properties. As the properties stay on the market longer, sellers are doing what they can to make a sale. That can mean reducing the price significantly, especially if the property is on the market for 108 days (the current average) or longer.
Although the market is more balanced today, there is still an overall upward trend in pricing. If you want to purchase a home under $1 million, you may run into a bidding war, especially if you're looking in Brooklyn. Overall, though, buyers aren't in as much of a hurry to purchase more expensive properties, and that is good news for you as a buyer, too.
If you intend to make a large purchase, especially if it's over $1 million, you may have the odds in your favor. With more options and homes staying on the market longer, you have time to look into different properties to determine which one is best for you. Before you purchase any property, make sure to review the terms and conditions of the purchase. The right choice now can affect your finances positively for years to come.
Source: DNA Info, "Sellers Chop Prices and Buyers Feel Less Urgency as NYC Real Estate Cools," Amy Zimmer, July 06, 2017