NY Metro Condos UP 2% M/o/M
In the most recent report of the S&P / Case-Shiller Index, it shows that only 2 metro areas in the country showed gains. Washington D.C area homes and New York area condos. New York area condos values rose almost 2% month over month. Values are rising at a speed last witnessed in late 2005. New York area condos values stand 12% below the 2006 peak, however seemed to have leveled off.
Here is how the other major metro areas fared: This is based off the S&P/Case-Schiller Home price Indices that have been calculated monthly using a three month moving average and published with a 2 month lag.
|Metro Area||MoM % Change||YoY % Change|
|Los Angeles||- 0.7%||- 1.9%|
|San Francisco||- 1.1%||-0.3%|
|Chicago||- 2.7%||- 9.4%|
|Boston||- 0.9%||- 0.4%|
|New York||+ 1.7%||+ 2.8%|
For what it’s worth, we feel that the NY metro condo market is showing signs of improvement which is great for the local real estate and housing consumer confidence. Indicative of the Case-Shiller report, condo prices are going up, and in our analysis of the Hudson County market, rents are going up as well. This report keeps us cautiously optimistic, but those who feel Hudson County condos need to be slashed may need to reconsider their theory. It’s all about confidence right now and many are waiting for a speculated government incentive. Reports like this Case Shiller help confidence levels of consumers. We’ll see where it goes.
On another note, as we continue to monitor sales volume, Quarterly volume is down for Hoboken condo sales. Below is a chart showing quarterly sales volume for Hoboken. In comparison with the 2% increase in condos that the Case Shiller report suggests, please share your thoughts on the contradiction. We will update next week with our opinion.