I recently attended the annual symposium on the future of residential real estate presented by the Center for Real Estate Studies (CRES) at New York Law School (where I am proud to say I have been an Adjunct Professor since 2002). There were two main points that I took away from the symposium that I want to share with you.
First, inventory is scarce, especially in Manhattan. According to UrbanDigs, active listings in Manhattan are down 30% in first quarter 2013, while deals in contract are up 24% during that same time period. The result is a strong sellers’ market with one major caveat that is related to my second point, which is . . .
Transparency. There is so much information now readily available to buyers, sellers, brokers (and attorneys) that the process has become much more transparent. How does this relate to my first point? Well, much more informed buyers means that sellers need to be realistic in pricing their properties. Behind the inventory and contract numbers is
the reality that the NYC market remains segmented, with well-priced, quality properties having their pick of buyers, while over-priced, lower quality properties languish.
The upshot? Every market offers opportunities to smart and informed sellers and buyers. It’s also critical for sellers and buyers to choose and work with high-quality brokers.