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DiamondGirl
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DiamondMama
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Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
http://finance.yahoo.com/news/real-estate-still-good-buy-193500720.html
Message edited 2/25/2014 8:37:00 AM.
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Posted 2/25/14 8:33 AM  |
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Beth
The Key to your new home....
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Beth
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
this article doesn't really apply to NY - especially Long Island
we have yet to see prices increase as dramatically as other areas that they mention in this article
I think now is the perfect time to buy on long island b/c this hasn't happened yet but we are close
I personally moved up my home buying schedule b/c of this and I got a great house that appraised for more then I am paying for it - I can count one 1 hand the amount of time that has happened in my career and most were distressed sales
the bottom line is rates are still low and prices have not come up much here
the one issue we are having is LOW inventory- which is making Long Island much more of a sellers market then it has been in the last 5 years-
I see the inventory increasing in the next 2 months
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| Posted 2/25/14 12:40 PM |
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DiamondGirl
You are my I love you
Member since 7/09 18802 total posts
Name:
DiamondMama
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Posted by Beth
this article doesn't really apply to NY - especially Long Island
we have yet to see prices increase as dramatically as other areas that they mention in this article
I think now is the perfect time to buy on long island b/c this hasn't happened yet but we are close
I personally moved up my home buying schedule b/c of this and I got a great house that appraised for more then I am paying for it - I can count one 1 hand the amount of time that has happened in my career and most were distressed sales
the bottom line is rates are still low and prices have not come up much here
the one issue we are having is LOW inventory- which is making Long Island much more of a sellers market then it has been in the last 5 years-
I see the inventory increasing in the next 2 months
I originally had edited it to say itwas different in NY but then reading the article it said Nassau was having similar issues.
For me I know in Queens it never went down a whole lot (though it did dip) but the mortgage rates made--and still do make--buying advantageous. That said IMP the lack of inventory is inflating prices
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| Posted 2/25/14 12:57 PM |
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Beth
The Key to your new home....
Member since 2/06 24849 total posts
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Beth
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
the article is really hard to follow- even for me and I live this
they are saying the the rent is out of whack in Nassau- which we know- it is much higher then average
Mr. Pinto recommends checking the estimated rent of a potential home purchase using the "Rent Zestimate" feature on the website Zillow.com
Zestimates do NOT work on long island since we do not do square footage- they are not accurate and nothing a professional would tell you to use
as for home prices in Nassau- they are actually talking about income to price ratio's- not prices going up
"Price/income ratios for those markets didn't look more promising. San Francisco had a ratio of 4.8, 19% above its preboom average. The metro area that includes Nassau County had a ratio of 1.9, 8.4% above its average, "
I would bet that is always true for all the areas they mentioned
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| Posted 2/25/14 1:05 PM |
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DiamondGirl
You are my I love you
Member since 7/09 18802 total posts
Name:
DiamondMama
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Posted by Beth
the article is really hard to follow- even for me and I live this
they are saying the the rent is out of whack in Nassau- which we know- it is much higher then average
Mr. Pinto recommends checking the estimated rent of a potential home purchase using the "Rent Zestimate" feature on the website Zillow.com
Zestimates do NOT work on long island since we do not do square footage- they are not accurate and nothing a professional would tell you to use
as for home prices in Nassau- they are actually talking about income to price ratio's- not prices going up
"Price/income ratios for those markets didn't look more promising. San Francisco had a ratio of 4.8, 19% above its preboom average. The metro area that includes Nassau County had a ratio of 1.9, 8.4% above its average, "
I would bet that is always true for all the areas they mentioned
Ah that makes much more sense!
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| Posted 2/25/14 1:14 PM |
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Posted by Beth
this article doesn't really apply to NY - especially Long Island
we have yet to see prices increase as dramatically as other areas that they mention in this article
I think now is the perfect time to buy on long island b/c this hasn't happened yet but we are close
I personally moved up my home buying schedule b/c of this and I got a great house that appraised for more then I am paying for it - I can count one 1 hand the amount of time that has happened in my career and most were distressed sales
the bottom line is rates are still low and prices have not come up much here
the one issue we are having is LOW inventory- which is making Long Island much more of a sellers market then it has been in the last 5 years-
I see the inventory increasing in the next 2 months
I pretty much agree.
Also, I think like all statistics, real estate statistics (and financial info) can be spun one way or another.
But for non-investor purchasers (and sellers), there are always going to be strong reasons to buy or sell regardless of whether the time is optimal from a purely economic markets standpoint.
For example, when I bought my home in 2008, it was because I was pregnant and DH and I no longer wanted to rent in the city. I needed to be near my family, who helped watch DS while I worked. We had no space for DS in our one bedroom rental and didn't want to raise a child in the city. So even though rates were much higher then than they are now, and even though prices weren't as low as they eventually got, I still bought my house in 2008 because the timing was personally right for me.
Some of my recent buyer clients have been couples who are getting married and currently live separately and want to buy a home together (not live in a rental or apartment), or people who are having a second child and need more space. Similarly, I have seller clients who are relocating out of state for work, or retiring and moving down to Florida, or who want to get their child who is starting school next year into a better school district, or who are getting divorced and can't afford to buy each other out.
All of those life circumstances dictate real estate decisions more than just the economics. Of course, it's good to have a handle on the market trends and what that means for your home sale or purchase, but it's hard to predict what will happen and wait for the "ideal" time to buy or sell. Most people just do it when their personal circumstances and finances dictate it, rather than waiting for the macroeconomics to be right.
Plus, we live on an island with a limited amount of land, which makes us different than places like FL or NV or places that saw the market bottom out even worse than we did. It's just a different animal on Long Island, so hard to generalize.
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| Posted 2/25/14 2:00 PM |
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
I agree w/ the above that Long Island is one of the exceptions in this market and that inventory is very low.
DH and I have been going to open houses and I am amazed at how little homes are available in our target areas w/in Nassau (and we are being very generous with our budget, looking from low 300s to high 500s, etc). The inventory isn't very high, and what does sell seems to be the uber-desirable homes that are priced right and with updates. In our area, we still have 2 homes that have been sitting on the market for 1.5 yrs.
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| Posted 2/25/14 4:11 PM |
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tourist
Member since 5/05 10425 total posts
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Posted by Century 21 Dallow - Christine Braun
But for non-investor purchasers (and sellers), there are always going to be strong reasons to buy or sell regardless of whether the time is optimal from a purely economic markets standpoint.
I feel like this is the story of my life! We bought a co-op in late 2006 & paid way too much. We had been married two years & wanted out of the temporary apartment we moved into when our previous lease was abruptly terminated. (Well, it ended legally, but I didn't know I wasn't going to be able to renew)
We were still in mindset of having to buy quickly & afraid to offer too low, b/c everything has been moving quickly, but the apt. across from ours that we saw the same day sat empty for another 8 months, and then sold for much less than ours, when it had been listed higher.
If I had known, I would have waited a year, but we were already in the temp place longer than expected.
Now we want to sell the co-op, but have work to do first & it just figure that by the time we do it will be a bad time to buy again!  I am really over having to deal with a super/management & not having my own laundry, though.
Message edited 3/4/2014 12:15:53 PM.
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| Posted 2/25/14 4:35 PM |
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Jugglemom
LIF Adolescent
Member since 3/12 809 total posts
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Hmm...I can see where the article is coming from. In my area of LI, it seems that the market is pretty crazy right now probably due mostly to low inventory. I just put my house on the market and sold it in one day, cash buyer, waived all contingencies including inspection. I will admit we have a great house though. The house we are buying we were in a bidding war for and ended up well over asking (I still view what we are paying as a fair price for this house).
I was honestly really surprised by all this. Similar thing happened to my friend who was outbid. It seems there are a lot of cash buyers out there waiving all contingencies.
Eta: just as a point of reference we bought our current home in 2007 (pretty much height of market) and sold for a decent amount more than we bought it for.
Message edited 2/25/2014 5:16:39 PM.
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| Posted 2/25/14 5:12 PM |
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ave1024
I Took The Wrong Road
Member since 12/07 6153 total posts
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That Led To The Wrong Tendencies
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
The Long Island market is not going down anytime soon, especially the "good" areas. There is just way too much demand. Tons of qualified buyers with plenty of cash and down payment. Then you have all the 3% folks driving values up even more.
I am looking for a vacation condo in west palm beach, and my god the values have gone up so much in the past year. There have been 10-15 percent gains in e past year alone in some of the nicer gated communities I am looking in. Two years ago you couldn't GIVE houses away. But now buyers are coming out in droves driving prices up. This is freakin' FLORIDA of all places. I placed one offer on a house, granted it was low but not even a counter. Ended up selling for less than 10% off list. I just placed another offer on a smaller place today which probably won't get accepted, maybe I'll at least get a counter on this one. It's a joke.
The nice thing is in the end I know my house in Long Island is going to sell for big bucks when the time comes.
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| Posted 2/25/14 5:18 PM |
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MegZee
My bunny
Member since 5/06 8777 total posts
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Meaghan
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
In my area the trade up market has no inventory whatsoever. Houses sub $400k are flying off the market. I could easily sell, but there is nothing $400-600k! We are staying and putting on an extension bc we need space and can't find anything.
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| Posted 2/26/14 11:10 AM |
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Beth
The Key to your new home....
Member since 2/06 24849 total posts
Name:
Beth
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Posted by ave1024
The Long Island market is not going down anytime soon, especially the "good" areas. There is just way too much demand. Tons of qualified buyers with plenty of cash and down payment. Then you have all the 3% folks driving values up even more.
I am looking for a vacation condo in west palm beach, and my god the values have gone up so much in the past year. There have been 10-15 percent gains in e past year alone in some of the nicer gated communities I am looking in. Two years ago you couldn't GIVE houses away. But now buyers are coming out in droves driving prices up. This is freakin' FLORIDA of all places. I placed one offer on a house, granted it was low but not even a counter. Ended up selling for less than 10% off list. I just placed another offer on a smaller place today which probably won't get accepted, maybe I'll at least get a counter on this one. It's a joke.
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My dad just listed his condo in Jupiter for what he paid in 2006 (he bought another one with his new wife that is already worth 50% more then what he paid)
I told him to wait- but he doesn't want the headache of the rental anymore and it's going to need a new AC soon
I have been in the business since 2009- I have always been busy- but it's crazy now and has been since August
snow isn't even slowing this market down
I just listed a house in West babylon and 30 second later got a showing request
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| Posted 2/26/14 12:35 PM |
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jessnbrian
Only God knows His plan for us
Member since 4/13 7238 total posts
Name:
Jessica
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Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
As much as I complain about all the things we need to do to our house, renovation & update wise, I'm so thankful. We put the offer in at the end of 2011 and closed 2/1/2012, and at the time the house appraised for $50K more than we paid for it. I have no idea how much more it would appraise for today, but after we finish this kitchen reno we are doing a re-appraisal so that we can get rid of our PMI (which we shouldn't be paying anyway, but we're working on that).
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| Posted 2/26/14 12:43 PM |
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mnmsoinlove
Mommy to 2 sweet girls!
Member since 3/09 8585 total posts
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Melissa
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
I agree Dh and I were just out bid on a house. Before we bid on one house we were between 2 homes and now both are gone. There is such little inventory it's really depressing. I'm hoping once the warmer weather arrives more people will list.
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| Posted 2/26/14 3:02 PM |
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ave1024
I Took The Wrong Road
Member since 12/07 6153 total posts
Name:
That Led To The Wrong Tendencies
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Posted by Beth
Posted by ave1024
The Long Island market is not going down anytime soon, especially the "good" areas. There is just way too much demand. Tons of qualified buyers with plenty of cash and down payment. Then you have all the 3% folks driving values up even more.
I am looking for a vacation condo in west palm beach, and my god the values have gone up so much in the past year. There have been 10-15 percent gains in e past year alone in some of the nicer gated communities I am looking in. Two years ago you couldn't GIVE houses away. But now buyers are coming out in droves driving prices up. This is freakin' FLORIDA of all places. I placed one offer on a house, granted it was low but not even a counter. Ended up selling for less than 10% off list. I just placed another offer on a smaller place today which probably won't get accepted, maybe I'll at least get a counter on this one. It's a joke.
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My dad just listed his condo in Jupiter for what he paid in 2006 (he bought another one with his new wife that is already worth 50% more then what he paid)
I told him to wait- but he doesn't want the headache of the rental anymore and it's going to need a new AC soon
I have been in the business since 2009- I have always been busy- but it's crazy now and has been since August
snow isn't even slowing this market down
I just listed a house in West babylon and 30 second later got a showing request
Jupiter is super hot right now. I am looking in the Gardens which is just as hot. It's ridiculous. I was casually looking back in 2011 and I am kicking myself for not taking it more seriously then. I never would have guessed Florida of all places would turn around this quickly. The days of bargains are over.
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| Posted 2/27/14 8:11 AM |
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DiamondGirl
You are my I love you
Member since 7/09 18802 total posts
Name:
DiamondMama
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Posted by ave1024
Posted by Beth
Posted by ave1024
The Long Island market is not going down anytime soon, especially the "good" areas. There is just way too much demand. Tons of qualified buyers with plenty of cash and down payment. Then you have all the 3% folks driving values up even more.
I am looking for a vacation condo in west palm beach, and my god the values have gone up so much in the past year. There have been 10-15 percent gains in e past year alone in some of the nicer gated communities I am looking in. Two years ago you couldn't GIVE houses away. But now buyers are coming out in droves driving prices up. This is freakin' FLORIDA of all places. I placed one offer on a house, granted it was low but not even a counter. Ended up selling for less than 10% off list. I just placed another offer on a smaller place today which probably won't get accepted, maybe I'll at least get a counter on this one. It's a joke.
.
My dad just listed his condo in Jupiter for what he paid in 2006 (he bought another one with his new wife that is already worth 50% more then what he paid)
I told him to wait- but he doesn't want the headache of the rental anymore and it's going to need a new AC soon
I have been in the business since 2009- I have always been busy- but it's crazy now and has been since August
snow isn't even slowing this market down
I just listed a house in West babylon and 30 second later got a showing request
Jupiter is super hot right now. I am looking in the Gardens which is just as hot. It's ridiculous. I was casually looking back in 2011 and I am kicking myself for not taking it more seriously then. I never would have guessed Florida of all places would turn around this quickly. The days of bargains are over.
Yeah ibn my parents building (Pompano Beach) same thing, last yr luxury condos on the water were selling for pitiful prices, now it is right back up to around where they paid (maybe more) they bought maybe 7 yrs ago, after the height (there was a hurricane that effected value) but before the crash
Message edited 2/27/2014 10:49:44 AM.
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| Posted 2/27/14 10:49 AM |
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Mrs&MrsK
i need sleep ;-)
Member since 2/14 2008 total posts
Name:
L
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Posted by EclecticEsq10810
I agree w/ the above that Long Island is one of the exceptions in this market and that inventory is very low.
DH and I have been going to open houses and I am amazed at how little homes are available in our target areas w/in Nassau (and we are being very generous with our budget, looking from low 300s to high 500s, etc). The inventory isn't very high, and what does sell seems to be the uber-desirable homes that are priced right and with updates. In our area, we still have 2 homes that have been sitting on the market for 1.5 yrs.
This is what we are noticing too. I only get maybe 50 houses in 10 school districts in a search- and out of that there are maybe 5 "Ok i'd like to see it"s
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| Posted 2/27/14 1:26 PM |
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Mrs&MrsK
i need sleep ;-)
Member since 2/14 2008 total posts
Name:
L
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Posted by Jugglemom
Hmm...I can see where the article is coming from. In my area of LI, it seems that the market is pretty crazy right now probably due mostly to low inventory. I just put my house on the market and sold it in one day, cash buyer, waived all contingencies including inspection. I will admit we have a great house though. The house we are buying we were in a bidding war for and ended up well over asking (I still view what we are paying as a fair price for this house).
I was honestly really surprised by all this. Similar thing happened to my friend who was outbid. It seems there are a lot of cash buyers out there waiving all contingencies.
Eta: just as a point of reference we bought our current home in 2007 (pretty much height of market) and sold for a decent amount more than we bought it for.
where is this ?
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| Posted 2/27/14 1:28 PM |
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Mrs&MrsK
i need sleep ;-)
Member since 2/14 2008 total posts
Name:
L
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Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
After reading this, I guess we should wait a bit before selling.... still going to start paying attention and have a real estate broker come by. I bought our house originally because it was the only one I saw that was well kept up and didn't smell. LOL. We ended up doing a lot of improvements and still have a few on the list. Hopefully in a year we will see some major change!
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| Posted 2/27/14 1:37 PM |
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Jugglemom
LIF Adolescent
Member since 3/12 809 total posts
Name:
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Re: Interesting article on how it went from a great time to buy a home to not a goodi dea in 6 short months...
Posted by Lauren1802
Posted by Jugglemom
Hmm...I can see where the article is coming from. In my area of LI, it seems that the market is pretty crazy right now probably due mostly to low inventory. I just put my house on the market and sold it in one day, cash buyer, waived all contingencies including inspection. I will admit we have a great house though. The house we are buying we were in a bidding war for and ended up well over asking (I still view what we are paying as a fair price for this house).
I was honestly really surprised by all this. Similar thing happened to my friend who was outbid. It seems there are a lot of cash buyers out there waiving all contingencies.
Eta: just as a point of reference we bought our current home in 2007 (pretty much height of market) and sold for a decent amount more than we bought it for.
where is this ?
I don't like to mention specifics about where I live but we are on the north shore - commuting distance to the city.
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| Posted 2/27/14 1:37 PM |
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