12/26/2023
December NYC Real Estate Market updates:
> Since early November, the average rate for a 30-year fixed mortgage started making sustained drops. The most common home loans are now in the 6% to 7% range.
> In December, Fed telegraphed a reasonable probability to cut mortgage rates further in 2024 in the form of 3 cuts totaling 75 basis points.
> Contract activity increased 23.6% in October 2023 comparing to the month before. Both November and December saw the uptick in market activity. This includes inquiries, property visits, submitted and accepted offers.
> Inventory levels are 15% lower than in the previous year.
> Manhattan rents fell annually in November for the first time since mid-2021, sign of more than just seasonal sluggishness.
> New leases were signed last month at a median of $4,000, a 4.6% drop from October, and 2.3% lower than in November 2022.
In December, Fed telegraphed a reasonable probability to cut mortgage rates further in 2024 in the form of 3 cuts totaling 75 basis points. While these are only projections and nothing is...