Author Topic: Spring buying season - market picking back up?  (Read 3428 times)

Offline Reverse_Seared

  • Tourist
  • **
  • Posts: 18
  • Lived here since: 2021
Spring buying season - market picking back up?
« on: April 19, 2021, 03:16:30 PM »
In the past couple weeks I’ve seen several co-ops listed and go into contract, even in the higher price points of $900k+. And a few of these deals happened FAST, like within two weeks of listing. It looks like some buyers know what they’re looking for and are eager to move in.

Elsewhere in the country, real estate is going for 20%+ over pre-pandemic prices, while here in Jackson Heights it still seems a bit lower than before. Yet the nicer Jackson Heights co-ops have many of the benefits of suburbs (space, community feel, gardens) coupled with urban appeals.   

So, what’s the outlook? A new crop of young professionals moving in? Prices rising quickly as Jackson Heights takes on more of a Park Slope/Prospect Heights vibe? Yuppies spoiling the neighborhood? Omakase sushi? A subsequent drop in prices if many new sellers emerge?


Offline abcdefghijk

  • Mayor
  • *******
  • Posts: 1645
Re: Spring buying season - market picking back up?
« Reply #1 on: April 20, 2021, 06:50:29 PM »
My own guess is that due to the pandemic, urban living (which is what we have here in Jackson Heights) will be out of fashion for a while.

Offline Reverse_Seared

  • Tourist
  • **
  • Posts: 18
  • Lived here since: 2021
Re: Spring buying season - market picking back up?
« Reply #2 on: April 22, 2021, 07:43:10 PM »
We shall see, though I’m also hearing that deal activity has picked up, especially as NYC recovers more quickly than some other areas. I’m a believer that the same cultural forces that have been attracting people to cities for decades will rapidly overcome pandemic headwinds.

Also, the suburbs have gotten so expensive so quickly — Jackson Heights becomes the not-so-hidden gem that can offer a best-of-both-worlds appeal. Who’s even leaving (and selling) given these possible dynamics?

Offline r

  • Activist
  • *****
  • Posts: 151
Re: Spring buying season - market picking back up?
« Reply #3 on: April 23, 2021, 06:41:51 AM »
Some of the people leaving (and selling) are people who have lost their jobs :'(

Unemployment in NYC is still rising, it was 12.6% in January and 12.9% in March.

By contrast it was 4.1% in 2018.

Offline lalochezia

  • Mayor
  • *******
  • Posts: 824
Re: Spring buying season - market picking back up?
« Reply #4 on: April 23, 2021, 07:23:22 AM »


Also, the suburbs have gotten so expensive so quickly — Jackson Heights becomes the not-so-hidden gem that can offer a best-of-both-worlds appeal. Who’s even leaving (and selling) given these possible dynamics?

I mean I like this neighborhood and am sticking around, but the sudden attraction of the suburbs is
 i) your own private outdoor-space i.e. garden
ii) more indoor space 
iii) quiet
 iv) less 'other' people because they are somehow diseasy-scary and
v) parking so you can rely on a car and don't have to see those other people

 Most places in JH don't have any of those.

JH's "best of both worlds" was "good access to the city on public transport + good relatively affordable (prewar) housing stock + diverse neighborhood". Those positives still hold, but they aren't advantages in the pandemic mindset at all.

Offline jh35

  • Council Member
  • ******
  • Posts: 447
Re: Spring buying season - market picking back up?
« Reply #5 on: April 23, 2021, 08:37:56 AM »


Also, the suburbs have gotten so expensive so quickly — Jackson Heights becomes the not-so-hidden gem that can offer a best-of-both-worlds appeal. Who’s even leaving (and selling) given these possible dynamics?

I mean I like this neighborhood and am sticking around, but the sudden attraction of the suburbs is
 i) your own private outdoor-space i.e. garden
ii) more indoor space 
iii) quiet
 iv) less 'other' people because they are somehow diseasy-scary and
v) parking so you can rely on a car and don't have to see those other people

 Most places in JH don't have any of those.

JH's "best of both worlds" was "good access to the city on public transport + good relatively affordable (prewar) housing stock + diverse neighborhood". Those positives still hold, but they aren't advantages in the pandemic mindset at all.

In my building, I noticed that co-ops that were selling in the 900’s are now selling in the 600’s.

Offline abcdefghijk

  • Mayor
  • *******
  • Posts: 1645
Re: Spring buying season - market picking back up?
« Reply #6 on: April 23, 2021, 09:17:01 AM »


Also, the suburbs have gotten so expensive so quickly — Jackson Heights becomes the not-so-hidden gem that can offer a best-of-both-worlds appeal. Who’s even leaving (and selling) given these possible dynamics?

I mean I like this neighborhood and am sticking around, but the sudden attraction of the suburbs is
 i) your own private outdoor-space i.e. garden
ii) more indoor space 
iii) quiet
 iv) less 'other' people because they are somehow diseasy-scary and
v) parking so you can rely on a car and don't have to see those other people

 Most places in JH don't have any of those.

JH's "best of both worlds" was "good access to the city on public transport + good relatively affordable (prewar) housing stock + diverse neighborhood". Those positives still hold, but they aren't advantages in the pandemic mindset at all.

In my building, I noticed that co-ops that were selling in the 900’s are now selling in the 600’s.

Yep. Agree. The pandemic has instigated a world-wide trend. Fear of urban living. Too close to others who might be disease carrying.

Fashions usually last a few years. (Probably up to 5 years)...before folks forget the dangers of density.

And that predicts the prices of urban apartments like Jackson Heights...and elsewhere in big cities globally.

It'll be a buyer's market for the foreseeable future.   
« Last Edit: April 23, 2021, 09:25:13 AM by abcdefghijk »

Online itsit

  • Mayor
  • *******
  • Posts: 952
Re: Spring buying season - market picking back up?
« Reply #7 on: April 23, 2021, 12:09:27 PM »
 One factor that might change the allure of the country, at least to the north, is that this past winter was brutal with tons of bad weather. People that were used to some mobility in the city were marooned by 2ft high snowfalls on occasion and some power outages. They seem deliriously happy to come back and go shopping and eat different foods. Let's see how it plays out this year.

Offline jh_coop_buyer

  • Citizen
  • ****
  • Posts: 122
Re: Spring buying season - market picking back up?
« Reply #8 on: April 23, 2021, 01:04:20 PM »
In my building, I noticed that co-ops that were selling in the 900’s are now selling in the 600’s.

If the apartment were selling in the 900's, it must be a three bedroom two bathroom apartment in an elevator building with walking distance to the express subway stop. I haven't seen such three-bed two bath apartment selling in the 600's

Compared to the pre-pandemic, the bigger apartments (at east two bedroom two bath) haven't seen much decrease. This is because people are hungry for more space due to the pandemic. My guess is about 0-10% decrease, not as dramatic as your 33% decrease example.

Would you be able to share the link of the apartment or the name of the building?

Offline ljr

  • Mayor
  • *******
  • Posts: 647
Re: Spring buying season - market picking back up?
« Reply #9 on: April 23, 2021, 01:24:14 PM »
The only 2-3 bedroom/2-bath apartments that are selling in the $600s are in estate condition. Yes, they go in the high $600s if the buyer has to do a total gut renovation, as happened recently in my building. Otherwise, prices have held steady for apartments that are renovated or in very good shape in good buildings, good locations, etc.

Offline jh35

  • Council Member
  • ******
  • Posts: 447
Re: Spring buying season - market picking back up?
« Reply #10 on: April 23, 2021, 01:48:56 PM »
The only 2-3 bedroom/2-bath apartments that are selling in the $600s are in estate condition. Yes, they go in the high $600s if the buyer has to do a total gut renovation, as happened recently in my building. Otherwise, prices have held steady for apartments that are renovated or in very good shape in good buildings, good locations, etc.

In Washington Plaza, apartment A65 is listed for $695,000. (Ok,  not really what I should have called in the 600’s.)

In the 2021 (14th) amendment to the offering plan the price is listed at $981,500 (these are real prices)

Offline jh_coop_buyer

  • Citizen
  • ****
  • Posts: 122
Re: Spring buying season - market picking back up?
« Reply #11 on: April 23, 2021, 02:51:09 PM »

In Washington Plaza, apartment A65 is listed for $695,000. (Ok,  not really what I should have called in the 600’s.)

In the 2021 (14th) amendment to the offering plan the price is listed at $981,500 (these are real prices)

A65 is a two bedroom one bath apartment, asking 695K is already high even before the pandemic in my own opinion. I am not saying the offering plan is not real. I don't know how I believe the offering plan of 981K. If we check this building on steeteasyhttps://streeteasy.com/building/washington-plaza#tab_building_detail=2 , no apartments of two bedroom one bathroom apartments have ever reached more than $700K.  Even for two bedroom two bathroom apartment, the price ever reached was 784K (apartment F42).

Offline jh_coop_buyer

  • Citizen
  • ****
  • Posts: 122
Re: Spring buying season - market picking back up?
« Reply #12 on: April 23, 2021, 02:58:21 PM »
The only 2-3 bedroom/2-bath apartments that are selling in the $600s are in estate condition. Yes, they go in the high $600s if the buyer has to do a total gut renovation, as happened recently in my building. Otherwise, prices have held steady for apartments that are renovated or in very good shape in good buildings, good locations, etc.

There is quite a difference between a two bedroom and a three bedroom apartments, both have two bathrooms. Yes, I do see two bedroom two bath for 600s,  but never for three bedroom two bath even in estate condition that required a gut renovation.  Sometimes, in the same building, I have seen the latter is about 30-ish % more expensive than the former, e.g. 600s for two bedroom two bath while 900s for the three bedroom two bath.

Online Olivesta

  • Resident
  • ***
  • Posts: 47
Re: Spring buying season - market picking back up?
« Reply #13 on: April 23, 2021, 03:01:19 PM »
The only 2-3 bedroom/2-bath apartments that are selling in the $600s are in estate condition. Yes, they go in the high $600s if the buyer has to do a total gut renovation, as happened recently in my building. Otherwise, prices have held steady for apartments that are renovated or in very good shape in good buildings, good locations, etc.

In Washington Plaza, apartment A65 is listed for $695,000. (Ok,  not really what I should have called in the 600’s.)

In the 2021 (14th) amendment to the offering plan the price is listed at $981,500 (these are real prices)


Oh those prices in the Offering Plan are not the market value of the apts so it was never worth $900k.

Offline jh35

  • Council Member
  • ******
  • Posts: 447
Re: Spring buying season - market picking back up?
« Reply #14 on: April 23, 2021, 03:39:20 PM »
The only 2-3 bedroom/2-bath apartments that are selling in the $600s are in estate condition. Yes, they go in the high $600s if the buyer has to do a total gut renovation, as happened recently in my building. Otherwise, prices have held steady for apartments that are renovated or in very good shape in good buildings, good locations, etc.

In Washington Plaza, apartment A65 is listed for $695,000. (Ok,  not really what I should have called in the 600’s.)

In the 2021 (14th) amendment to the offering plan the price is listed at $981,500 (these are real prices)


Oh those prices in the Offering Plan are not the market value of the apts so it was never worth $900k.
.

Then why did people pay the prices in the approved offering plan?