|
|
FROM THE DESK OF YOUR VEST-DRESSED SALESPERSON |
|
|
|
|
|
|
|
|
As Compass CEO Robert Reffkin pointed out on CNBC's Squawk on the Street earlier this month, today's mortgage rates have become our "new normal," and home buyers seem to be accepting the elevated prices. The number of mortgage applications leading up to his July 6 appearance had, in fact, ticked up in three out of four weeks. Also you are NOT MARRIED to your rate... you are just dating it. You will get a chance to refinance but what you may not get is a chance is to definitively buy in a down market (that is happening now)... In the New York City ecosystem, luxury properties and new development condominiums remain a bright spot. But, even in a period of slower activity, ever-resilient New York still moves forward, as evidenced by the $8.4 billion in sales recorded in Manhattan and Brooklyn during the second quarter (see more on Q2 results below). As we head into the back stretch of the Summer of Hip-Hop, there's still much to do to celebrate the New York art form's 50th anniversary! I still remember the first time I heard "King of Rock" by Run DMC and my life was changed forever! Mayor Adams just announced a series of block parties to celebrate the birth of hip-hop, (is there anything better than an NYC block party!!) while the Brooklyn Museum is hosting a must-see Jay-Z exhibit. To top it off, Restaurant Week is here to keep you well-fed through these last dog days of summer. Enjoy! |
|
|
|
|
|
|
|
|
|
The Compass Q2 Reports Are In |
|
|
|
|
|
|
According to the Q2 2023 Manhattan Market Report, economic uncertainty tested buyer and seller resolve over the last three months. Contracts signed in Q2 dipped 21.7% year over year and 22.6% compared to Q1. The 2,548 closed sales transactions in the borough totaled $5.2 billion and represented a 32.6% decline year over year and 32.2% month over month. Meanwhile, the luxury sector continued to buck trends with a 17.4% increase in contracts signed between $5 million and $10 million compared to Q2 2022. The Q2 2023 Brooklyn Market Report shows a continued interest in the borough's townhomes, with houses comprising nearly half of all sales in Q2. While sales across all property types dropped 36.9% compared to last year's record activity, they surged 11.6% quarter over quarter. The 2,072 contracts signed during Q2 was a 29.4% increase over Q1 but a 17.5% YOY decline. Despite higher mortgage rates and inflation worries, buyers and sellers proved they're still willing to transact for the right properties in one of the country's most resilient cities. |
|
|
|
|
|
|
|
New Development Sales Soar as Resale Inventory Stalls |
|
|
|
|
|
|
The new development condominium sector posted strong results in June, with 323 signed contracts, 28% more than the average June contract activity. Revenue for new development buildings also grew 2% to $3.8 billion, while price per square foot rose 7% to $1,600. The significant bump in all-cash buyers, who have comprised 60% of all NYC buyers this year, is one explanation for the new development sales boom. "It's been a very good year for new development," said Kael Goodman, CEO of the report's author Market proof, "and we see this continuing in the second half (of the year)." Strong sales resulting in a tightening inventory market may push prices up in the coming months. They may also be just the thing to launch a new cycle of post-pandemic construction in the city. "Developers are starting to talk about new projects," Market proof's Goodman said. "By the end of the year, there could be as few as 10,000 new units available, which amounts to 31 months of inventory — a historical low." |
|
|
|
|
|
|
|
The Housing Market's Resilience Surprises Some Economists |
|
|
|
|
|
|
confounding some long-held beliefs about their relationship. The Fed's barrage of interest rate hikes was aimed at lowering inflation by slowing the country's economy, including the housing market. Nationwide, the gambit worked initially when most markets saw a slowdown in activity. But the stall may be ending with home prices ticking up and national housing starts jumping in May (although they pulled back in June). The back and forth illustrates the difficulty of reining in the economy when the labor market remains strong. Even with higher interest rates, buying is still attractive to remote workers and Millennials (the largest generation in the country), keeping demand steady. But sellers with primo interest rates are unwilling to move, which puts pressure on construction firms to build more homes. But can the economy slow enough to appease Chairman Powell et al if builders are working and hiring? And if rent prices (which directly impact inflation) increase in response to growing sales prices, how will The Fed respond? So far, Powell has seemed unbothered by the recent uptick in the housing sector. And yet The Fed is expected to raise rates another 0.25 percentage points at their meeting this week. |
|
|
|
|
|
|
|
MY NEW YORK CITY – RESTAURANT WEEK & JAY-Z EDITION |
|
|
|
|
|
|
|
New York City's Restaurant Week is back, and I can't wait to check out some of the 500 restaurants participating this summer. If you don't know the drill, Restaurant Week offers prix-fixe two-course lunches and three-course dinners, ranging from $30 to $60. In short, it's the ideal opportunity to check out all the restaurants languishing on your wish list. Highlights include Jean-Georges' The Fulton for killer Brooklyn Bridge views, Daniel Boulud's Le Gratin, Park Slope's buzzy Palo Santo, and Central Park's indomitable Tavern on the Green. Restaurant Week runs until August 20, with Saturdays excluded and Sundays optional. Check your chosen restaurant on the Restaurant Week website for further details, and remember to tip your waitstaff. Before heading out for a great restaurant week meal, plan a visit to the incredible Jay-Z exhibit at The Brooklyn Museum's central location off Grand Army Plaza. The Book of HOV: A Tribute Exhibition Honoring Jay-Z celebrates the native Brooklyn artist in the context of hip-hop's 50th anniversary, with multiple floors of murals, rare photos, video footage and more. Organized by Roc Nation, the exhibit is free and open to the public (no library card needed) during the Central Library's regular hours. And, if you don't already have a Brooklyn Public Library card, Roc Nation has created a set of fantastic limited-edition cards to accompany the exhibit available while supplies last at the Central Library and Marcy Library locations. |
|
|
|
|
|
|
|
|
| | 30 East 62nd Street, Unit PHC |
| | |
|
|
| | | | 421 Hudson Street, Unit 418 |
| | 2 BD 2.5 BA 1,688 SF $2,650,000 |
|
|
|
|
| | | 643 East 11th Street, Unit 1B |
| 2 BD 2 BA 1,504 SF $1,795,000 |
|
|
|
| | |
|
|
|
|
|
| | | | 2 BD 1.5 BA 1,700 SF $24,000 |
|
|
|
| | |
|
|
|
|
|
|
Licensed Real Estate Salesperson Licensed as Edward R Freiberg |
|
|
| | |
|
|
|
|
Office: 212-913-9058 Compass is a licensed real estate broker. All material is intended for informational purposes only and is compiled from sources deemed reliable but is subject to errors, omissions, changes in price, condition, sale, or withdrawal without notice. No statement is made as to the accuracy of any description or measurements (including square footage). This is not intended to solicit property already listed. No financial or legal advice provided. Equal Housing Opportunity. All Coming Soon listings in NYC are simultaneously syndicated to the REBNY RLS. Photos may be virtually staged or digitally enhanced and may not reflect actual property conditions. |
|
|
|
|
|
|
|