The real estate market in New York City has been breaking sales records for the past two years. There are more buyers in the market than ever before, even though prices have jumped a whopping 50 percent over the last six years. Apartments are selling like hot cakes especially the lower priced apartments. Of course, lower price means apartments that are in the $400,000 to $600,000 price category.
According to an article published by ZeroHedge.com, the vacancy rate has increased over the summer, but many brokers attribute that increase to the escalating prices in New York. Prices have increased for everything in New York in 2015, and many economists that are tuned into New York say more increases are coming in 2016.
The ZeroHedge.com article questioned whether the real estate boom was coming to an end in New York City, but according to Andrew Heiberger, the founder of Town Residential, that’s not the case. The luxury market in New York City apartments for rent is still as hot as ever, according to Heiberger. He should know. Town Residential is the top luxury real estate company in New York. The company has more multi-million dollar listings that the brokers that star on the Bravo Television show Million Dollar Listing New York.
The brokers at Town Residential say buyers are more price conscious, so they are not overpaying. Buyers are staying away from the insane bidding wars that made values explode earlier this year. Town Residential Brokers are very busy selling high-priced apartments to buyers that live in other countries. Heiberger thinks that trend will continue next year especially if the real estate values continue to drop in other cities around the world.
But according to the ZeroHedge.com article, the vacancy rate may increase in spite of that mystic. But Town Residential brokers say even though certain sections of Manhattan may experience more vacancies, areas like Astoria, parts of Brooklyn and the Lower East Side are busier than even. The East Village is not as hot as it was because of its Post-Frat boy image. The Lower East Side is now the artsy and fashionable place to live. Even the southern end of Prospect Park is experiencing a lot sales activity, and so is Bay Ridge where an agent recently sold a un-renovated three story house for almost a million dollars.