2008 Westchester Market Report
“Please stop screaming sir. Yes, I didn’t expect the market to decline this much either. Yes, I have seen the news. Yes, I know the offer is not what you wanted, but I think it’s time to seriously consider selling now. I don’t know if you will get a better offer.”
This is a conversation I actually had with a home seller recently. We commiserated over coffee and Nutter Butter cookies as he lamented rejecting an offer $90,000 more, just one year ago with the statement, “I’m going to wait for a better offer. I’m not giving my house away.” Well, one year has certainly changed things for many of us. For some sellers, giving their houses away is no longer an option, because banks are taking them away.
Westchester has always been in a strong position due to its proximity to Manhattan, excellent schools, and transportation access. However the WCBR released the 4th quarter numbers and it seems Westchester is slowing down to the recession riddled real estate markets reflected in the rest of the country.
Here are the Facts About Westchester
Prices Down Only 5% for Single Family Homes
Westchester County down only 5% in prices as compared to 2007. This position is stronger than many parts of the country where prices are down 25% or more. Westchester resisted price concessions until the fourth quarter where prices dropped 11% from the same quarter last year. Multi family homes dropped 15%. Condos and coops dropped less dramatically (-1% and -3% respectively).
Number of Sales Dropped 26% Overall
3,805 single family homes sold in the county last year, down 26% from 2007. The slowest market was multi-family homes which dropped by 34% from the previous year. Problems with lending, unemployment, and an ugly case of the jitters created a very slow market for buyers and sellers this year.
2009 What Do I Do?
If you are a buyer, get off your butt and buy. Rates are low, prices have dropped, and sellers are sweating bullets. Contact your lender FIRST. Get your financial house in order with a pre-approval (sometimes a conditional commitment) and start shopping. The Spring market is around the corner and sellers are ready to sell.
If you are a seller, listen to your advisors. Stop “trying” the market unless you are trying to make sure you don’t sell your house. It’s worth what the market will bear, not what you want to get. If you mis-price your house, no one will offer to buy it. It’s that simple.
Westchester’s local economy is stronger than in most areas, the unemployment rate is not as severe, and household income is higher than the average, therefore we will be leading the way out of the recession. Until then, make the best deal you can today… or AskRey.