The status of the New York City

real estate market as we head into fall:

Uncertainty is the enemy in many scenarios, especially in financial markets, employment and the real estate sector. Right now, there are a number of deals happening in the city. However, many buyers are on pause as a multitude of question marks lie ahead, in business, health, politics and more. In the meantime, the rental market continues to sink lower while the sales inventory climbs ever upward.

Sale prices seem to be wavering in the wind like a kite — momentarily holding steady, then changing direction with another guest of wind. The metaphor holds true for the scads of unsure buyers, as well. We're seeing a lot of interest but also a lot of trepidation. In some markets, especially in Brooklyn, listings are going to contract seemingly immediately, and some even, dare I say it, bidding wars.

What lies ahead is anyone's guess, frankly. In the wake of a world-altering pandemic, today's market feels different than it did after other world-altering, life-changing events from our past. Probably because there is so much hanging in the balance at this very uncertain moment. Nobody knows what the next six weeks will hold, not just in terms of COVID, but also all the hot button issues such as the Supreme Court nomination, national social justice demonstrations and, oh, that presidential election thingy. Will New York City be able to keep numbers low in light of a return to school and indoor dining? Or will a second wave be on the horizon? Is a full recovery of the economy possible without a vaccine or will we see a broader global economic downturn? Uncertainty is everywhere--so it’s understandable that buyers have a bit of this as well. They can’t help themselves. It’s everywhere.

Other regions across the country, including larger cities, are experiencing tremendous sellers' markets. But we're not quite there in New York City. Yet. Our market as a whole seems to be in flux. On hold Paused. Halting. In transition. Stopped. Resting. Waiting for the other shoe to drop. And yet, some buyers are confidently skating out onto the ice and being rewarded handsomely for it with record-low interest rates, listing prices (arguably) 10 percent less than before COVID, with extra negotiation room on top of that.

It's a good time to buy. Really good. And buyers who are boldly forging ahead know this. All the questions cannot be answered right now. All the uncertainty cannot be removed. But to live in the moment is to seize the day, to live your life in the city that you love and help revive and care for it. There's a reason why we were all here. It's because we love New York City. And our city will come back. It always has, and it always will.

Have a Question?