This is the update for Long Island home prices for February 2024 and a recap of the January, 2024 overall numbers. As usual, I review the Suffolk County home prices in depth. If you have
Housing Affordability On Long Island
Dated: February 2 2024
It's no secret that everyone knows the housing market is hot right now for home sellers because we have critically low numbers of homes available for sale and very active homebuyer activity.
How do we know this?
Well our open house attendance is very high and homes are selling with multiple offers.
Wait a minute though, aren't prices really high along with mortgage rates?
So what's the deal? Why is the housing market on Long Island (specifically Suffolk County) still continuing to have record average sale prices month after month?
There are three main drivers right now that are driving buyer interest and home prices:
1. Housing affordability.
2. Lack of available homes for sale (rent).
3. FOMO (Fear Of Missing Out).
4. Normal moving patterns.
Let's start from the bottom of this list and work our way up.
People move. That fourth reason is, no matter if prices are up, mortgage are high, economy is doing bad, good or indifferent, people move. Homeowners sell for various reasons and prospective homebuyers want to own their own space.
This is why owning real estate is considered an excellent investment.
"FOMO" or Fear Of Missing Out, in my opinion, is always a driver for people to make investments or buy stuff. I tell all my buyer clients the same thing, "You're buying a sellers market."
They normally shake their head and acknowledge that they know this.
But Tom, why would people buy in a high market?
See number 4 and remember, while rates are in the high 6's as of early February, 2024, they used to be 18% at one point!
While other people are searching for homes to buy, their friends and colleagues get the "itch" to do the same thing!
The lack of homes for sale is showcased every month on my podcast. Because there's just not enough homes to meet the demand of homebuyer activity, this keeps prices steady (and rising).
Which brings us to housing affordability.
Basically, to understand this graph and its value to you as a homeowner, a high number is good and lower number is bad.
Look at 2021. The number is 105. That means homebuyers had income that exceeded 100% of the costs of a median-priced home then.
Mortgage rates were in the 3's.
Have taxes gone up since then? Have home prices gone up since then? And cost-of-living expenses?
All have gone up.
And the mortgage rate? As of early February, 2024, they're around 6.9%. That's double what they were in 2021.
If you have given any thought to selling, you can contact me at (631)831-9048 to schedule an apointment. To see a quick snapshot of your home value right away, based on the most comprehensive property data, visit my website.
As an experienced real estate expert in Suffolk County, I understand that your home is a valuable asset and deserves the utmost attention. That's why I'm excited to offer you some exclusive insights.
In today's market, it's essential to know your property's value in comparison to others in the area. That's where I can help. With my years of experience, I can provide you with valuable information that will make a significant difference in your financial future.
Here's what you can expect from my personalized value assessment:
- Accurate Property Valuation: I'll conduct a comprehensive analysis, considering location, amenities, recent sales, and market trends, to give you an accurate estimate of your property's current market value.
- Comparable Market Analysis: I'll show you how your property compares to others in your neighborhood, providing you with valuable insights into the competitive market landscape.
- Expert Recommendations: Based on my analysis, I'll offer expert recommendations on how to maximize your property's value, guiding you on the best course of action to enhance its appeal and profitability.
But that's not all. I'm here to support you through the entire selling process, ensuring a stress-free experience. My goal is to help you sell your home faster, and for the most amount of money the market will bear.
Whether you're considering selling in the near future or just want to stay informed about your equity, this consultation will provide you with valuable insights.
Are you ready to learn more about your property's true value? Simply reach out to me to schedule a personal consultation. During our meeting, I will provide you with a detailed report tailored to your property.
Your wealth through real estate ownership is my top priority, and I look forward to helping you achieve your real estate goals. Contact me today to schedule your personalized property value assessment and learn more about my proven process to get your home sold faster and for the most money.
I am a proud member of the National Association of Realtors since 2007. I obtained my Broker Associate License in 2011 after having successfully sold over 40 homes in my first 2 full years in real est....