the New York City housing market is one of the most thriving markets in all of America.
While it may not have the features of year-round warm weather, it boasts the crown jewel of American civilization.
Because of that, many people are interested to see what will come of the real estate market for New York City. What will be the NYC real estate trends that you should expect in 2020?
Experts can only speculate through educated guesses. Here are several trends that you should keep an eye out for. If you’re in the market for a new home, consider all of these as you start your search.
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1. Home Prices Are Moderately Rising
Those that have been in the market for a house the past few years are no stranger to the fact that house prices have gradually climbed.
That doesn’t seem to be changing heading into the new year of 2020. However, the good news is that they’ll be rising at a relatively slower pace.
Experts are predicting that, nationally, home prices are going to grow by around 2.8 percent.
While that may not be a welcome tidbit of information for most people, it’s lower than the 3.3 percent in 2019 and the 5 percent increase the year before.
Overall, this makes for a great time to find the dream home you’ve always been wanting to purchase. Moderate growth is a good sign of things to come!
2. Market Will Change as a Byproduct of Rent Laws
The recent crackdown by local legislation on NYC rental property rules and regulations has skewed the market a bit.
The new focus on rental properties will directly affect the market by not offering as many new rental spaces as in previous years.
That means the focus will now shift towards finding a relatively budget-friendly price on homes in the notably affordable areas of New York City. That means places such as Prospect Park, Forest Hills, and Bay Ridge will be at a premium.
You’ll also see many more rental properties grow on the other side of the New York and New Jersey state lines.
3. The Migration to Metro New York
As it turns out, the spike in a need for more rental properties, as well as the growing population of millennials entering the market, makes for a huge migration of people to Metro New York.
Metro New York has never struggled with getting plenty of people to it, quite the opposite in fact. The main emphasis, for years, has been to retain those that call it home for a while.
Part of this can be chalked up to the fact that the move to Metro New York is considered an early phase in someone’s rental lifespan.
It’s a great place to call home for several years, try to save up, then find somewhere else to rent closer to your job or purchase a home outside downtown.
However, that trend has curved in recent years. Now, people are moving the Metro New York in search of the housing that they’ve longed for. Read this article to learn more about the recent emphasis on Metro New York for many interested buyers and renters alike.
4. Millennials Are Taking Over the Buyer’s Market
Millennials can be chalked up as some of the most clever and resourceful homebuyers in recent memory.
They have access to online listings, as well as other avenues, and they know how to use all of them to their advantage.
For that reason, millennials are taking up a significant portion of the buyer’s market, and are capitalizing on it. If you’re a seller in the NYC area, then you should focus your listings on showing off all the amenities that you can. That’s what they’re in search of.
With a market so focused on amenities, the millennial market has found a way to search and find the property that fits their idealogy.
Those looking to rent or invest in the NYC real estate market specifically know of the balance between square footage and amenities.
In a market so focused on location rather than size, you’ll continue to see an uptick in the millennial demographic that’s taken over the market in recent years. They’re getting wiser with age, and are always looking for new locations to move into.
5. Sustainability of Present Buildings
This trend is possibly the most rewarding of any others that are listed on here. Chalk it up to a lack of square footage availability or the growing concern of preservation throughout the online space.
Whatever the reasoning, more and more people are investing in restoring and renting out currently unused buildings.
This strikes a perfect balance between having a more sustainable NYC real estate market and catching the eye of millennials that love green-foot initiatives.
Hopefully, this opens up a portion of the market that’s more affordable for first-time renters. The real estate value of that restored building will depend entirely on the expected sustainability it has.
No matter how long or how short it’s sustainability, this trend will become a lifesaver to those out there struggling to find their ideal price, location, or both.
Keep a Watchful Eye for These NYC Real Estate Trends
Now that you’ve seen a good amount of NYC real estate trends to watch out for, it’s time to research listings that you might be interested in.
Be sure to stay levelheaded on the properties that you’re interested in. Sometimes it’s best to wait it out a bit longer in search of the perfect fit.
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