This Month in Forest Hills Real Estate: November 2012

Forest Hills NY Market Update

The Forest Hills’ housing market is showing steady signs of recovery due to a combination of rising home sales, declining inventory, and low interest rates. A good indicator that the market will experience a full-force recovery are the 5 months in 2012 where we have seen an increase in median home prices. Usually, prices slow down after the peak summer sales season. We saw this happen in Forest Hills this September, however, the current gain in October is a sign that the housing recovery is self-reinforcing.

The market trend is steady in Forest Hills. Despite month-to-month setbacks, we’re experiencing a slow recovery, and it is taking longer than the nation as a whole. More people are attempting to buy Forest Hills homes than are able to qualify for mortgages but that has not hindered the number of home sales. In fact, we have seen four consecutive months of year-over-year home sale increases.

Now is one of the most favorable times in market history to purchase a home in Forest Hills due to record-low interest rates. With the uncertainty of this year’s election and the likelihood that interest rates might not be low for much longer, the time to buy is definitely NOW.

Absorbtion Rate/Month’s Supply

Time it would take to sell the current inventory at the current rate of sales:

  • This Month – 8.9 months
  • Last Month – 10.9 months
  • Last Year – 13.3 months

*6-7 Months is a sign of a stable real estate market. Under 6 months is considered a “Seller’s Market”, over 7 months is considered a “Buyer’s Market”.* 

Forest Hills NY Interest Rates

Mortgage rates this month continue to decline at or around 3.41%, reaching record lows. While these rates underline an extremely favorable time to buy, “some buyers who could easily afford a mortgage can’t assume they will get one,” states NAR President Moe Veissi. He advises home buyers “to be more focused on the mortgage process in the current environment where lenders and banking regulators are being risk adverse. Shopping for competitive mortgage terms is a good idea, but it may be more important to find a bank that is willing to work with you given your credit history.”

Forest Hills NY Home Sales

Home sales rose 18.6% month-over-month to a seasonally adjusted rate of 51 units, a 21.4% decrease from last year. Residential Home sales rose to a rate of 8 units, a 60% increase from last year. Condo Home sales rose to a rate of 4 units, a 300% increase from last year. Co-Op Home sales rose to a rate of 39 units, an 8.3% increase from last year.

Total Number of Homes Sold: 51 – Up 18.6% from last month & Up 21.4% from last year. 

  • Residential Homes Sold: 8
  • Condo Homes Sold: 4
  • Co-Op Homes Sold: 39
 
Forest Hills NY Home Prices

Home prices have slightly increased this month, with the current median home price at $260.000, up 18.1% from last month’s median price of $221,000, and up 1.4% from last year. October marks the fifth month of year-over-year price increases this year, a sign that the recovery is still a slow process in forest hills.

Median Sale Price: $260,000 – Up 18.1% from last month & 1.4% from last year. 

  • Residential Median Sale Price: $682,500
  • Condo Median Sale Price: $622,500
  • Co-Op Median Sale Price: $221,000

Forest Hills NY Pending Home Sales

Pending Home sales rose 20.4% month-over-month to a rate of 53 units, a 35.9% increase from last year. Residential Pending Home sales fell to a rate of 3 units, a 40% decrease from last year. Condo Pending Home sales remained the same as last year, at a rate of 2 units, a 0% change from last year. Co-Op Pending Home sales rose to a rate of 48 units, a 50% increase from last year.

Total Number of Pending Home Sales: 53 – Up 20.4% from last month & Up 35.9% from last year. 

  • Residential Pending Sales: 3
  • Condo Pending Sales: 2
  • Co-Op Pending Sales: 48

Forest Hills NY Listing Inventory 

Current active listings on the market: 426

  • 77 New Co-Ops hit the market
  • 3 New Condos
  • 8 New Residential Homes

Forest Hills’ Home Sellers who Didn’t Sell the First Time

You had big dreams for when you decided to sell your house. Maybe it was to upsize, downsize, or get closer to family. Just because your house didn’t sell the first time doesn’t mean you should give up on your dreams. The fact is that now is a great time to buy, which means your house could be in a better position to sell now than ever before!

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This Month in Queens Real Estate: November 2012

November 2012 Queens Market Update

The Queens’ housing market is showing steady signs of recovery due to a combination of rising demand, declining inventory, and low interest rates. A good indicator that the market will experience a full-force recovery is strongly evidenced by the continual increase in median home prices. Usually, prices slow down after the peak summer sales season, but the current gains are a sign that the housing recovery is self-reinforcing.

The market trend is up in Queens. Despite occasional month-to-month setbacks, we’re experiencing a genuine recovery. More people are attempting to buy Queens homes than are able to qualify for mortgages, and recent price increases are not deterring buyer interest. Rather, inventory shortages are limiting sales in some of the more popular/high demand neighborhoods of Queens.

Now is one of the most favorable times in market history to purchase a Queens home due to record-low interest rates. With the uncertainty of the upcoming election and the likelihood that interest rates might not be low for much longer, the time to buy is NOW.

Interest Rates

Mortgage rates this month continue to decline at or around 3.41%, reaching record lows. While these rates underline an extremely favorable time to buy, “some buyers who could easily afford a mortgage can’t assume they will get one,” states NAR President Moe Veissi. He advises home buyers “to be more focused on the mortgage process in the current environment where lenders and banking regulators are being risk adverse. Shopping for competitive mortgage terms is a good idea, but it may be more important to find a bank that is willing to work with you given your credit history.”
Queens NY Home Sales
Home sales fell 5.9% month-over-month to a seasonally adjusted rate of 560 units, a 10.7% decrease from last year. Residential Home sales fell 7.6% month-over-month to a rate of 327 units, a 14.2% decrease from last year. Condo Home sales fell 2.1% month-over-month to a rate of 46 units, a 12.2% increase from last year. Co-Op Home sales fell 3.6% month-over-month to a rate of 187 units, a 8.8% decrease from last year.

Queens NY Home Prices

Home prices have slightly decreased this month, with the current median home price at $369,995, up 1.3% from last month’s median price of $275,000, but up 8.8% from last year. While the month-to-month trend has seen a small dip, the year-over-year trend of increasing home prices is still present. September marks the fifth month of year-over-year price increases this year.

Queens NY Pending Home Sales

Pending Home sales rose 10.2% month-over-month to a rate of 736 units, a 15.4% increase from last year. Residential Pending Home sales rose 3.8% month-over-month to a rate of 407 units, a 5.4% increase from last year. Condo Pending Home sales fell 3.5% month-over-month to a rate of 55 units, a 10% increase from last year. Co-Op Pending Home sales rose 25.1% month-over-month to a rate of 274 units, a 35.6% increase from last year.
Queens NY Home Buyer Tip
When trying to figure out how much you can afford on your monthly housing payment(s), a good rule of thumb is to keep it under 33% of your monthly gross household income. In other words, your monthly housing debt (Mortgage, Maintenance, Common Charges, Taxes, Insurance, etc.) should not exceed 33% of your monthly gross income. This is a conservative way to make sure that you buy within your means.