For the first time in our lives, the real estate market was under unique circumstances, as it operated during a global pandemic. For roughly a year and a half Covid-19 directly impacted the market as buyers and renters became hesitant to purchase or lease.
Major cities such as New York, where our Martin Eiden Team is headquartered, saw how volatile the market became in the 2020/2021 calendar year.
In one instance real estate companies in large offered super sales to incentivize renters to stay in the New York market, and in another, rent nearly doubles as demand increases. The market is scaling once again, and the borough of Queens hits a groundbreaking point in its market since the pandemic.
Queens becomes the first borough whose real estate market recovered to pre-pandemic levels. In Q3, said borough reached high-end rental leases priced at $2,550 a month. Though the queens real estate market has always been strong, enduring only a 5% decrease for expensive homes in the city of good neighbors, the effects of the pandemic brought Brooklyn and Manhattan buyers to Queens and in turn yielded breakthrough market numbers YoY.
With a re-opened society and over 5 million vaccinated people between the boroughs, what will happen to New York’s real estate market? Will neighboring boroughs follow the success of Queens?
Our guess: absolutely!
WIth Q3 revealing improvement in the real estate market, we think the EOY numbers will be promising. Q3 already increased housing closings by 40%, making the pre-pandemic rates more feasible for the remaining boroughs.