Everyone is watching the U.S. real estate market like a hawk right now because they aren't sure where it's going. Is it going to tumble down into an abyss, or will it recover in a few months?
It seems like everyone is making a bet one way or another. If you are considering buying real estate in Staten Island, you will need to know a few things before doing that. Keep reading for more info on the Staten Island real estate market.
Inventory Is Low, and Homes Are Selling Fast
The bad news is that because everyone is being cautious with the real estate market as America's perception of their economy sours, there is less inventory available. That is, there aren't as many people putting homes up for sale. It's a waiting game, so if you can wait a little while longer before purchasing, it could look up.
But the good news is that even though inventory is low, the homes on the market aren't sticking around for long. This means that despite the generally negative perception of the real estate market, folks are still positive about Staten Island real estate.
Most sellers are backing off, but those brave enough to test the market can sell their homes faster because there is less competition. Additionally, a lot of folks are waiting for mortgage rates to come back down, which will make more buyers interested in purchasing homes.
Mortgage Rates Have Tripled
Unfortunately, due to mortgage rates having tripled in the past year, hitting 5% in 2022, as a buyer, you have to be extra cautious about getting into the market, especially if you are on a tighter budget for your house purchase.
Your monthly mortgage payments with such rates would be much higher, making owning a home much more expensive and unachievable.
Not only that but with inflation as high as it is right now (and probably creeping higher), a lot of folks aren't sure if they can afford to buy such an expensive mortgaged house right now.
The Federal Reserve promises to keep on interest rates until inflation is back to 2 percent. But that means lots of folks might wait to purchase instead of plunging into the deep end.
Staten Island Real Estate Market - Now You Know
Knowledge is power, especially in the Staten Island real estate market. The market currently is a very special one, something we haven't seen in a long while in the United States.
And that's why everyone, sellers and buyers, has to tread carefully. If you are unsure of exactly how to approach buying a home in such a market, then don't hesitate to get in touch with us. We will help you navigate this market in the best possible way, so you don't end up losing money or time.
Wonica Realtors & Appraisers are Staten Island's #1 independent full-service real estate firm, serving the needs of the community for over 30 years. Whether you are buying, selling, renting, or relocating, our staff of highly trained professionals will provide quality realty services with personal attention to your individual real estate needs.