Q: Is it a good time to buy or sell real estate on Staten Island?
Buying a home on Staten Island is likely the biggest transaction most people make in their lifetime, so hiring an experienced Staten Island real estate attorney to protect you and your investment is both smart and necessary. In fact, seeking legal guidance before or during the house-hunting phase can help avoid costly mistakes or delays later on. It can also save you money by giving you information to negotiate a better sales price and terms.
There are many factors that are currently impacting the Staten Island real estate market including new federal tax laws and their uncertain impact, inventory of homes on the market, and mortgage interest rates to name a few.
Basically, it’s a seller’s market on Staten Island— mainly because there are more buyers than there are houses for sale. This reality drives competition and often results in bidding wars between potential buyers who are fighting over the fewer houses on the market – – especially the affordable houses which are even harder to find.
While mortgage interest rates are still historically-low, they are reportedly inching a bit upwards and adding to the bidding war problem as anxious would-be buyers scramble to lock-in and close a deal sooner rather than later. The higher the mortgage interest rate rises, the higher the buyer’s monthly mortgage payment will rise and the impact of increased interest rates can ultimately cause some would-be buyers to buy a less expensive house than they hoped for—or to be priced out of the region’s housing market altogether.
Despite these challenges, Staten Island’s popularity for residential and commercial real estate investments is soaring. There’s been an increase in investment buyers and approximately 50% of residential buyers are newbies to the island reportedly coming from Brooklyn and Queens while the remaining 50% are Staten Islanders already and are interested in a first home or a trade-up. Staten Island is particularly attractive to residential and commercial investors who have been priced out of other boroughs.
From our offices in Staten Island, New York and East Brunswick, New Jersey, we represent clients throughout New York and New Jersey in commercial and residential real estate and estate planning matters.