The real estate market is hot in many parts of the country as housing demand continues to increase. Real estate properties continue to go up in value, causing bidding wars to become common as many buyers are desperate to become homeowners. For those looking to move to Long Island, NY, it is important to know what to expect if you plan to relocate or even sell a property you already own.
Prices Continue to Surge
Many of the homes in New York continue to increase in price, with the median price jumping by over 18% from January 2020 to January 2021. Many factors have caused prices to rise, and the values of real estate properties are expected to continue to increase as low-interest rates are stable and backed by the Federal Reserve.
Many buyers are discovering that they have to pay over the asking price to have their offers accepted. In some cases, buyers are even offering to pay the closing costs and move-out prices on the home for the sellers just to beat out other buyers while in a bidding war.
There Is an Increase in Demand
The increase in demand for real estate on Long Island has caused many buyers to wait in long lines to view homes. The buyer demand is at an all-time high due to low-interest rates. Some people are moving from the city, choosing to purchase a house with more space due to spending the year indoors during the pandemic.
The inventory is low, which can cause it to take several months to have an offer accepted while shopping around. Some buyers are even making offers without seeing the property in person after simply viewing pictures of the property.
Home Values Will Likely Increase
Now is the time to invest in real estate because financial experts believe that the real estate market will continue to remain hot, causing home values to continue to rise. This can allow you to pay less now for a property that will likely be priced higher in the next year. In 2021, home prices are expected to increase by 5.9%, which is slightly less than in 2020 but still trending upwards.
Keep up to date on the current state of the housing market on Long Island so you have the information you need to decide when it is time to invest in real estate. At Lynx Mortgage Bank LLC, we can help! Give us a call for more information.
