New York state consumers’ assessment of the real-estate market remains “strong” and they expect further growth in property values. That’s according to Donald Levy, director of the Siena (College) Research Institute (SRI), which released its latest survey report of consumer real-estate sentiment in the Empire State on April 17. “Looking back over the last year, […]
New York state consumers’ assessment of the real-estate market remains “strong” and they expect further growth in property values.
That’s according to Donald Levy, director of the Siena (College) Research Institute (SRI), which released its latest survey report of consumer real-estate sentiment in the Empire State on April 17.
“Looking back over the last year, twice as many residents, more so Upstate and in the [New York City suburbs], see improving conditions than those [who] feel recent months have been a bust. As they look to the 12 months ahead, half of all residents expect more growth while only one in seven predict decline. No question about it, the sentiment in New York is that, once again, the real-estate market is solid and secure,” Levy said in the report.
The overall current real-estate sentiment score among New Yorkers in the first quarter of 2014 is 11.2, down 0.8 points from the fourth quarter of 2013, according to the SRI data.
The figure is also above the point where equal percentages of citizens feel optimistic and pessimistic about the housing market.
Looking forward, the overall future real-estate sentiment score is 21.5, up from 19.2 last quarter, SRI said.
The sentiment figure also indicates New Yorkers expect the overall real-estate market and the value of property to increase over the next year.
Consumers also see the present as an improved time to sell with a score above breakeven at 9.6, up 6.5 points from last quarter, according to SRI.
At the same time, they also see it as a good time to buy with a positive score of 1.8, down 5 points from the fourth quarter.
The overall current real-estate sentiment score among upstate New Yorkers in the first quarter is 14.2, down 1.1 points from last quarter. The overall future real-estate sentiment score is 17.6, up 3.5 points from the fourth quarter.
The dynamic has changed when it comes to the “tug of war” between buyers and sellers, Levy said.
“No longer do buyers hold all the cards. Rather, overall and most especially in New York City, sellers have what buyers want and must compete for. Conditions are more balanced in the suburbs and Upstate, but it looks like large seller concessions and seemingly permanent yard signs are a thing of the past,” Levy added.
A sentiment score of zero (0) in any category reflects a breakeven point at which the survey measured equal levels of optimism and pessimism among the population relative to the overall market, or buying or selling real estate, according to SRI.
Scores can range from an absolute low of -100 to a high of 100, but scores below -50 or above +50 are both rare and extreme, SRI said.
SRI conducted the survey of consumer real-estate sentiment throughout January, February, and March by random telephone calls to 1,886 New York state residents age 18 or older. As the sentiment scores are developed through a series of calculations, “margin of error” does not apply, SRI says.
Contact Reinhardt at ereinhardt@cnybj.com