The shortage of houses on the market has brought about some long expected price increases in most areas of the Mid-Hudson. In Westchester County, the second quarter of 2017 single family homes had a median sale price of $670,000. An increase of $20,000 or 3.1% over last year’s level. According to an article by Hudson Gateway Association of Realtors, the mean sales price of $900,000 was 7% more than last year indicating that the high end sector is reinserting itself into the sale prices. Westchester condominiums and cooperative saw an increase of 5.3% & 3.9% respectively. Orange County which has had high sales volumes but flat prices saw a second quarter single family median prices of $235,000, an increase of 5.6% from 2016. Rockland County’s median price at $441,387, a 2.6% increase and Putnam County median price at $345,000 was a 9.9% increase over last year. Buyers are operating in a market that has seen tremendous reduction in the supply of housing over the past four years. At the end of 2014, there were 12,153 listings posted with Hudson Gateway Multiple Listing Service. By the close of the second quarter of 2017 had plunged by 344 units to 8,713 or 28.3% fewer listings.
The article in The Somers Records on July 27, 2017 by the Hudson Gateway Association of Realtors states Westchester posted 2,642 sales for an increase of 1% over 2016. Orange County posted an impressive 1098 sales, an increase of 13.8%. Almost all in the single family housing sector. Rockland County had a 3.8% increase in single family sales. Rockland’s condominiums sector had an increase of 33.6% in sales. Putnam County reported a decrease in single family sales of 5.4%.
In an article in USA Today – The Journal News on August 11, 2017 entitled “number of homes for sale sinks to a 20 year low explains one reason for the shortage of single family homes on the market. The article by Roger Yu and Paul Davidson states that the baby boomers grow increasingly reluctant to trade up or down from their existing homes. More than half of its survey respondents or 59% said they do not plan to sell their houses in the next year. This crunch has driven home price index up nationally by 5.6% in May from a year earlier. The housing shortage forced many first time buyers to consider smaller homes and condos.
Realtor.com, a real estate listing site operated by News Corp. surveyed 1054 randomly selected homeowners across the U.S. from July 6th to July 13, 2017. A vast majority of those who are at or near retirement age like where they are. 85% of the boomers said they have no plans to sell their homes within the next year. Home ownership among boomers is 78% or about 38 million properties which is twice as high as millennials.
Boomers hold the key to those homes that the market’s needs “but with a strong economy and rising home prices, there is no reason for established homeowners to sell in the short term”. Although, downsizing is on the mind of boomers. They face the same inventory shortages and price increases “plaguing millenials”. Boomers also appear less eager to go to traditional retirement locals such as Florida or Arizona and more interested in mainstreaming close ties with families and friends.
If you are or a loved one are in the need of a real estate attorney, contact the law firm of Dominick J. Robustelli & Associates, PLLC at (914) 288-0800 or on the web at White Plains Personal-Injury-Lawyers.com