Real estate market experts chime in on what investors can expect as fall arrives.
It has been a tumultuous summer for real estate markets everywhere and brokers are looking forward to what challenges await them as fall approaches. According to DNA Info, many of them do not expect another round of bidding wars to explode especially in the Manhattan area. It was pretty common in spring as buyers raced to bid on limited inventory of homes and properties. However, real estate dealers still do not see an increase in number of sellers especially in the lower price segment of the market which averages at just under $2 million. They foresee these things happening for real estate market in fall:
Buyers are going to be gun-shy with prices. Experts agree that buyers are going to be more conservative in their offers compared in spring when bids went over asking prices by as much as 10 percent.
The effects of world stock market slowdown will help buyers no matter how small. Prices in Manhattan are still up despite the hit the stock market took in spring. But experts agree that even a 10 percent dip in prices, although rather small, will still entice buyers to bid.
Foreign buyers are here for the long run. The surge in the number of investors from overseas was caused by a volatile world market but despite the fact things are starting to recover, foreign buyers have already learned their lesson and experts agree it is good for U.S. real estate.
Meanwhile, The Street reported an interesting fact. Analysis of 32 million sales of single-family houses and condos since 2000 revealed that the best prices buyers got on average were from deals made in the month of October. And based on sales for all Octobers of the last 15 years, the average sale price was 2.6 percent lower than average market value.
