Long Island NY home prices are expected to rise a modest one to two percent in 2013 from the fourth quarter of 2012. Gains in some areas of Long Island NY will be stronger than others, but overall, Long Island NY home prices have finally turned the corner, and we see no reason to be fearful of further large price declines.
This creates a new playing field for homeowners, who are finally able to sell, as well as would-be buyers who’ve been delaying a purchase in anticipation that prices would keep falling.
The Mortgage Bankers Association forecasts that more and more house hunters will start coming off the sidelines, with new-home loans for purchases expected to jump 55%, based in dollars, in 2013.
Are Long Island NY Home Prices Set to Skyrocket Again?
With these things being said, don’t expect Long Island NY home prices to be off to the races again in a year or two. We just don’t see that happening.
Homes in many markets are selling in a matter of weeks, often attracting multiple bids — but only the ones that are properly priced.
With competition heating up, casual house shopping isn’t going to cut it anymore. If you are serious about making a move, be prepared to make an offer. If a house has been on the market for three months or longer, you can afford to be more aggressive, but if it’s a new listing, a low-ball bid will get you ignored.
If tight lending standards return to historical norms, the real estate market could see an additional 500,000 to 700,000 home sales in 2013.
Since jobs are the engine of the housing market, a pickup in hiring later in the year, which economists are predicting, could accelerate a real estate rebound in the second half of 2013, meaning even higher Long Island NY home prices the longer you wait to purchase.