Thanksgiving is upon us. A majority of us New Yorkers—and those who love New York all around the world—are thrilled to see the city continuing to recover. The Q3 2021 Elliman Reports were released a few weeks ago. They showed the most velocity in NYC real estate transactions in more than three decades. [Click here to download the full sales reports]
We are also very excited that Eric Adams won the mayoral election. He promises to be a Mayor for all New Yorkers and we have supported him throughout his campaign. His election is another great sign for the city’s resurgence heading into 2022 and beyond!
As we quickly approach the end of 2021, optimism abounds. Here are some of the trends we are seeing in New York City and Manhattan real estate:
Eased travel restrictions have allowed to foreign buyers to travel back into the United States. We expect them to return to buying properties and sparking new developments throughout New York City.
With the holidays just around the corner, it is also time for year-end bonuses. Banks and investment firms are showing excellent numbers, so we expect a strong year for bonuses. This should help boost the economy and may lead to a spike in winter real estate activity.
The NYC tech sector continues to grow. Millions of square feet have been added by the tech community over the past two years. Those higher-paid workers at top companies like Google and Disney need to live somewhere, so it should be good for the local luxury home market.
Of course, we’re very happy to see the Covid-19 numbers declining as more people get vaccinated. Broadway is back, business is picking up and residents are returning to the city with each passing month. The more life in the city can return to normal, the more predictable market trends we should see in New York.
Unlike most markets in the country, New York City was not in a seller’s market these past couple years. There wasn’t much inventory, but buyer demand was also struggling here. Now, we’re seeing increased buyer demand and inventory is being absorbed at a strong and steady pace. This is pushing home pricing trends upward back to pre-2019 value levels.
Low Mortgage Rates
Interest rates for mortgage loans remain historically low, which gives home buyers more buying power. Rates could start to rise again heading into 2022, but it’s still a great time to buy in New York City with home prices still recovering.
The Next Generation of New Yorkers
In addition to previous residents returning to New York City, there are many new people moving here. We are seeing the next generation of New Yorkers emerging. They will be the ones that drive the real estate market and shape our economy in the years ahead.
It’s an exciting time to be a New Yorker. Whether you never left, are just coming back or you are new to the city, the real estate market is getting stronger each and every day. If you are ready to buy or sell a home in Manhattan, contact us today to get started.