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Author Topic: Jackson Heights Real Estate Report - Latest Data Available  (Read 1233 times)

Offline jhlifer

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Jackson Heights Real Estate Report - Latest Data Available
« on: October 18, 2020, 06:09:20 PM »
Below you will find my commentary from my latest quarterly Jackson Heights Real Estate Report, the most authoritative assessment of current sales activity in the 11372 zip code.  To subscribe and receive the full, three-part report, simply go to www.jhrealestatereport.com   

Daniel Karatzas
Associate Broker, Beaudoin Realty Group


We now have two quarters showing the effects of the pandemic “under our belt.”  The results, thus far, are not very surprising:

1.   Sales volume has declined.  Given the relatively low volume of houses sold each quarter – generally between five and fifteen, in both good times and bad – not much change was evident.  However, the drop in sales was significant for apartments, which fell by almost two-thirds compared with the third quarter of 2019.  The third quarter is typically when properties listed during the busy spring selling season will close.  Being that we had almost no spring selling season, the decline was to be expected.  Unwelcome, but expected.
2.   Average sales price remained relatively stable.  The main reason for this is that the vast majority of properties that closed in the third quarter (July through September) were priced and went into contract in the first quarter.  Real estate activities, you may recall, came to a virtual halt in the second quarter (from mid-March through the end of June).

With that said, what the future holds, remains materially uncertain.

Five houses sold in the third quarter, down from ten a year ago, but up from three in the first quarter.  Average sales prices fell between 5.5% and 10.5% for one-family houses.  Two-family house prices were flat compared to 3Q2019, but rose by over 17% versus the second quarter.  Again, low sales volume tends to magnify changes in average sales prices – especially if a particularly expensive or inexpensive property closes.  Year-to-date, a better barometer of market conditions, sales volume declined by over 42%, to 19 houses.  Average sales prices were down slightly for one- and three-family houses, but climbed by over 11% for two-family houses.

Third quarter apartment sales declined in all four categories: in total by 65% compared with the year-ago quarter and by 14% compared with the second quarter.  The sharpest decline, of just over 77% versus one year ago, was for prewar elevator cooperatives, our “bread and butter” apartment type.  Sales results were mixed versus the second quarter.  Compared with 3Q2019, average sales prices rose only for postwar cooperatives, advancing over 16% (this property type has always had the lowest average sales price).  All other categories declined between 0.8% and 14.5%.  And relative to the second quarter, sales prices rose for prewar and postwar elevator cooperatives, by 5.2% and 0.3% respectively.  Year-to-date total apartment sales fell by 44.1%.  Average sales prices were relatively stable for all cooperative types – ranging between (0.6%) to 5.4%, but fell by 9.2% for condominiums.

For the fourth quarter, sales volume for houses and apartments may rise a bit, given that sales activity will have been possible for six straight months.  Average sales prices may trend downward as inventory, especially for apartments, continues to rise, and buyers are increasingly confident that they now hold “the better hand.”

Finally, the following paragraph, taken from my second quarter commentary, still holds true:

It will take a few years to determine if, after a generation of renewal and success, cities – with their density, diversity, cultural attractions – continue to attract young people and start-up businesses.  If working from home becomes more permanent, the long commute into the city will be less of a concern.  All in all, a large number of factors will come into play which will help determine what the future will look like.  Just as it has for the last 100 years, the quality of our housing stock, a true neighborhood feel, and convenient transportation alternatives will continue to serve Jackson Heights well.  But given the continuing economic dislocations, the path ahead remains uncertain, not just for us, but for everyone.  Stay tuned.

Please feel free to contact me with your real estate needs, and referrals to friends and neighbors are always welcome.

Daniel Karatzas
The Trusted Expert for Properties in Historic Jackson Heights
Associate Broker, Beaudoin Realty Group
78-27 37th Avenue  Suite 5
Jackson Heights, NY 11372
Cell: 646 285 7762

www.beaudoinrealty.com
www.jhrealestatereport.com

View my 94 Five-Star Reviews at: https://www.zillow.com/profile/daniel-karatzas/



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