Tuesday, August 23, 2011

Coop/Condo Market In Queens Is Buzzing!

Queens’ pre-eminent coop/condo specialist, Anne 
Donohue, of Anne Donohue Realty, informs us that contrary to widespread reports in the media that the real estate market is dead, the coop/condo sector in Queens is still very much alive.

Ms. Donahue says:  There is always activity in market for coops and condominiums because the preponderance of purchasers in this sector are first time buyers.  First time buyers in their 20s and 30s are part of the buyer pool that never goes away.  Young people are always getting married or moving in together.  Single people leave their lives at this stage to strike out on their own.

What changes to influence demand is pricing and inventory.  We are presently in a market with an overabundance of inventory.  Because of this, there is a great deal of competitive pricing.  This has created excellent opportunities for buyers, and for serious sellers.

We are definitely in a market in which there is a strong case for buying.  Inventory is well priced.  The prices for 1 bedroom units in northern Queens range from as low as $149,000 to $170,000.  These are being snapped up quickly if they are properly priced.  The 2 bedroom units are going for anywhere from $189000 to $249,000.   Prices have come down quite a bit over the course of the last six months.  The most active part of the market is the new listings and the price reductions on the existing listings.

Anne has advice for buyers:  Buy!  Rates on a 30 year fixed-rate mortgage were at their lowest in 50 years last week, averaging 4.15%   Fifteen year fixed-rate mortgages averaged 3.36% last week, down from 3.5% the week before, and 3.9% a year ago.  We advise our clients to analyze the numbers.  At this stage of the game, it definitely makes more sense to buy as opposed to paying rent.

Anne also cautions buyers now to make low offers on properties that are priced to sell, because they may not get a chance to make a second offer.  Properties are moving well when the seller is informed about market conditions, and asking prices are realistic.  We are even seeing bidding wars on units priced to go.  The demand is definitely there.

Anne has advice for sellers, as well:   We may be at or near a price bottom now, but there is so much inventory on the market, that it will take a while prices to rebound.  Listen seriously to good offers.  If the market continues to falter, you may not see them again soon.

Anne Donohue is one of the most experienced co-op/condo specialists in Queens, with 25 years of experience, and over 2700 units sold!  Visit Ann online at http://www.annedonohue.com/.  You can reach her by email at annereal99@aol.com