Deep Dive: How long will the latest trends in home sales last?

Records are being set when it comes to housing costs in the area, whether you are a renter or buyer— but will the trends last? In this week's Deep Dive, News 12's Kristie Reeter looks into what you are paying.

News 12 Staff

Feb 4, 2022, 12:05 PM

Updated 862 days ago

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Records are being set when it comes to housing costs in the area, whether you are a renter or buyer— but will the trends last? In this week's Deep Dive, News 12's Kristie Reeter looks into what you are paying.
In a News 12 poll, viewers were asked: Has the hot housing market changed your five-year plan?
The votes on Long Island were close to evenly split, but a majority of 44% said they are leaving the state. In the Bronx and Brooklyn, it was the complete opposite. Around 71% said that they are staying in New York. In Westchester, there was a tie between those planning to leave the state and those staying.
Some areas in the tri-state are seeing record high rents. Will that trend continue?
“Well, we went from a period of having a lot of inventory and a lot of available apartments for rent to almost having none, and that has driven prices sky high. Especially in NYC, where we have seen rents drive up 33.4%, the average now $2,100 for a single bedroom in NYC,” says Caleb Silver, of Investopedia. “Westchester is a little bit more muted, a 10.3% increase in rent there. Nassau County up 9.4% and Suffolk County up 9.3%. Will that continue? As long as inventory is tight prices are going to remain elevated."
Redfin, a real estate brokerage firm, broke down some records that were set last year and there were a lot when it came to home sales. Two big ones that stood out— home supply dropped to the lowest level in history, and more than half of homes sold above list price, so it is expensive to buy. Will that trend continue for people looking to buy?
“As long as mortgage rates are sort of in this 4% range it probably will continue because inventory is tight, but as mortgage rates creep higher into that 5% range that is going to bring buyers out of the market which could stabilize prices,” Silver says.


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