Last Updated on January 14, 2021
Queens Real Estate Market Report 2020, courtesy of the Queens Home Team at Keller Williams Realty Landmark II. Have a question? Contact Us anytime.
Happy New Year from QHT! Before we dive into the market data and forecasts for the upcoming year, we just want to tell you all that we hope you have an AMAZING year, and we hope that you’re able to accomplish all of the goals that you’ve set for yourself 🙂
As you know we just made it through one of the most unprecedented years in our nation’s history. The global pandemic took it’s toll on all of us, and unfortunately we aren’t out of the woods yet. The good news is that things appear to be getting better and we will hopefully be back to normal by the end of this year.
In regards to the local Queens real estate market, it feels like we just went through a roller coaster. At the end of Q1 2020, we had 4,444 homes for sale, month’s supply of 7 months (Balanced Market), and a 30 year fixed rate of 3.69%. Overall we were in a balanced market, and prior to the pandemic coming to the US, we were anticipating a softer market slightly starting to shift in favor of buyers.
Then at the end of Q2, we saw the immediate impact of the pandemic, shutdowns, restrictions, etc. Inventory popped to 5,523 homes for sale, month’s supply shot up to 11.9 months (Buyer’s Market), and interest rates dropped to 3.13%. Q2 is when we started to experience the “flight to the suburbs” and it was definitely a real thing. Pretty much all of our apartments were sitting on the market (because nobody wanted to move into buildings), and our other listings were also taking longer to sell because so many would-be Queens’ buyers were looking at homes outside of NYC.
Going into Q3 we were continuing to see the flight to the suburbs so our local market kept experiencing a shift in demand. The lower demand we were seeing in Q2 and Q3 ultimately led to more inventory and higher month’s supply which means that we were going into a deep buyer’s market. For example, at the end of Q3 inventory popped again hitting 6,321 homes for sale, month’s supply rose again to 14.2 months, and interest rates dropped again hitting 3.0%. The low interest rates were really our saving grace and in our opinion, it is what kept our market and properties moving all year.
Now, what we started to see in Q4 was actually a big increase in demand. Partly due to the extremely low interest rates (most people were getting rates in the 2’s), and partly due to the normalizing of what was going on. Initially you had people fleeing, but towards the end of the year we saw the activity on our listings start to increase again. This is reflected in the pending sales numbers which were up over 30% in Q4.
So where are we now? Well, going into 2021 we currently have 5,557 homes for sale (down from 6,321 in Q3), month’s supply is 9.3 months (down from 14.2 months in Q3), and interest rates are hovering around 2.9%. So while we did see a HUGE drop in sales in 2020, they appear to have rebounded nicely towards the end of the year. With inventory at 5,557 homes and interest rates below 3%, it looks like we are entering the year in a modest buyer’s market that is currently trending towards a balanced market.
We’ll see how the first quarter plays out and that should give us a nice gauge into how the rest of the year will go. All in all, right now the market feels pretty balanced. Based on what we’re seeing, a healthy amount of people seem to be interested in selling, and a healthy amount of buyers are still in the market to buy. Prices were pretty flat last year so in our opinion, we believe that you’ll see a lot of people start to look for good buying opportunities here in Queens.
If you have any questions or need some real estate advice, feel free to Contact Us anytime.
QHT Listings for Sale
What is Month’s Supply? Months of supply is the measure of how many months it would take for the current inventory of homes on the market to sell, given the current pace of home sales. For example, if there are 50 homes on the market and 10 homes selling each month, there is a 5 month supply of homes for sale.
Months of supply is a good indicator of whether a particular real estate market is favoring buyers or sellers. Typically, a market that favors sellers has less than 6 months of supply, while more than 6 months of supply indicates an excess of homes for sale that favors buyers.
Month’s Supply in Queens NY
- Homes on the Market: 5,557
- Homes selling each month: 598
- Month’s Supply: 9.3
Queens Closed Home Sales
The One Key MLS reported a total of 2,181 closed home sales during the fourth quarter of 2020. This was DOWN 55% from the previous quarter and pretty much flat compared to the same quarter last year. Specifically, sales for Residential homes were UP 2.4%, Condo sales were UP 2.5%, and Coop sales were DOWN 6% compared to the same quarter last year.
Over the last 12 months, closed home sales are DOWN 22.6%.
Queens Pending Home Sales
As for pending home sales, the One Key MLS reported a total of 2,651 pending sales during the fourth quarter of 2020. This was UP 9% from the previous quarter and UP 30.5% compared to the same quarter of last year.
Queens Home Prices
As of December 31, 2020, the median home price in Queens was $650,000, this is UP 9.9% from the previous quarter, and UP 7.9% compared to the same quarter of last year. Specifically, the median home price for Residential homes was UP .6%, median home price for condos was UP .9%, and the median price for coops was UP 1% compared to the same quarter last year.
Over the last 12 months, home prices in Queens are up 6%.
On January 14, 2021, according to Bankrate’s latest survey of the nation’s largest mortgage lenders, the benchmark 30-year fixed mortgage rate is 2.900%. The average 20-year fixed rate mortgage rate is 2.810%. The average 15-year fixed mortgage rate is 2.390%. And the average 10-year fixed rate mortgage rate is 2.380%.
There is currently 9.3 month’s of inventory in Queens, this is DOWN from the 14.2 month’s supply we had last quarter, and UP from the 6.1 month’s supply we had in the same quarter of last year. As for active listings, currently there are a total of 5,557 homes for sale in Queens. That’s DOWN from the 6,321 homes we had on the market last quarter and UP from the 4,364 homes we had on the market in the same quarter of last year.
Queens Real Estate Market Report 2021, provided by the Queens Home Team at Keller Williams Realty Landmark II. Have a Question? Contact Us anytime.
The Queens Home Team is a group of friendly, service driven real estate agents in Queens NY. Our team members are not only experts at what they do, but more importantly, they are driven by their desire to help people. The team approach is what truly separates us from the average Queens broker, because while most agents are one person doing several things, we have several agents doing one thing, and being great at it! This ensures expertise throughout all stages of the transaction and allows us to provide the superior level of service our clients deserve. We understand that real estate is a service industry, therefore we treat it as such. Rest assured that when you work with the Queens Home Team, you’ll be in good hands, with people who care 🙂
*The opinions expressed in This Queens Real Estate Market Report are intended to supplement opinions on real estate expressed by local and national media, local Queens real estate agents and other expert sources. You should not treat any opinion expressed on this report as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of opinion. The Queens Home Team at Keller Williams Realty Landmark II does not guarantee and is not responsible for the accuracy or completeness of information, and provides said information without warranties of any kind. All information presented herein is intended and should be used for educational purposes only. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. All investments involve some degree of risk. The Queens Home Team will not be liable for any loss or damage caused by your reliance on information contained in this report.
As of September 30, 2020, there is a 9.3 month supply of homes for sale in Queens.
As of December 31, 2020, the Queens real estate market would be considered a “Buyer’s Market” as month’s supply is above 6 months.
The answer to this question depends on your personal situation. It really comes down to your objective, your priorities, your personal circumstance, and your goals after the sale. Generally speaking, demand has started to come back, inventory is still fairly low, and interest rates are still very attractive. We anticipate that the market in Queens will be pretty balanced this year, with a slight edge in favor of buyers. Although properties are not selling as fast as they did a few years ago, they are still moving so if you are ready to sell, yes it is still a good time to sell.
Now is definitely a good time to buy a home in Queens because interest rates are low, demand is healthy, and month’s supply is above 6 months which means that it is in favor of buyers. Demand appears to be coming back so there may be more competition this year, but it should still not be as competitive as the suburbs and as it has been in years past.
As of December 31, 2020, the median price for a residential home in Queens NY is $755K. Median price for a condo in Queens is $535K. And the median price for a coop in Queens is $313K.
As of December 31, 2020, average days on market for residential homes in Queens was 88 days. Average days on market for coops in Queens is 82 days. And average days on market for condos in Queens is 79 days.
In general, from the date of contract signing, it takes about 60-90 days to close on a residential home or condo in which the buyer is obtaining a mortgage. If it is a cash deal, then the typical timeline would be one month less (i.e. 30-60 days). It is very rare for homes and condos to close in less than 30 days unless you are selling to an investor, and when that is the case, you are usually selling for WAY below market value. As for coops, the typical timeline to close, from contract signing, is 90-120 days. If it is a cash deal, then the timeline would be one month less (i.e. 60-90 days).
Your overall selling timeline will depend on the agent you choose and how quickly they can get you an acceptable offer. Keep in mind that there are several issues that can cause delays to your transaction so it’s important that you hire an agent who has sold a lot of properties and knows how to anticipate and resolve issues quickly.
Click Here to learn more about the timeline to sell in Queens.
One of the main reasons why we Queens homeowners contact us is to find out how much their property is worth. There are several reasons why a homeowner would want to know their home’s value but no matter the reason, we are happy to oblige.
Some of the most common reasons for needing a home valuation include things like future plans to sell, probate & administration proceedings, divorces, bankruptcies, and of course plain curiosity. Many times we speak with homeowners and they have no plans of selling their home, but they would like to get an idea of what the property is worth.
Now, the way we typically answer the question, “How much is my property worth?” is by offering a Free Home Valuation. What our team does is offer two types of home valuations, one is a price range valuation (if we cannot see the property in person), and the other one is a more specific home valuation which requires us to see the property in person to assess the size, layout, condition, etc.
Price Range Valuation
A price range valuation is just what it sounds like, a price range for the value of your home based on the recent comps as well as our experience in your neighborhood. Price range valuations are good for out-of-state owners, landlords who don’t want to disturb tenants, or someone who just wants to get an idea (i.e. ballpark figure) of what their house is worth at any given time.
Most agents will not offer a price range valuation because in our industry agents are trained to schedule an appointment before sharing any price or value information. On our team however, we believe in full transparency and quality information so that people can make good decisions. As a result, we have no problem offering free price range valuations and we actually send a lot of them to Queens homeowners.
Something important to note regarding price range valuations is that the range (or spread) will largely depend on the size and type of property you own. For example, the price range offered for a 1 bedroom coop may be $50K (+/-) while the price range for a 3 family may be $200K (+/-).
The only downside to a price range valuation is that you won’t have a very specific value, but if all you want is an idea of, then this can be helpful.
Now, if you want to get a really good idea or more specific valuation for your property, then that would require a property tour. What we call this is a home valuation or broker price opinion. With this type of valuation, we would come in to see the property in person so that we can assess the size, layout, condition, internal obsolescence, external obsolescence, etc. The walk through usually takes 10-15 minutes, and after seeing it, we usually sit down with the homeowner to go over everything together. This allows us to not only provide the seller with the comps, but it also allows us to explain how we come to the valuation we are providing. If a homeowner cannot meet with is for some reason, then we will typically send the analysis and valuation by email.
Broker Price Opinion Vs Independent Appraisal
In our opinion, the best way to understand the value of your property is to sit down with a local agent who can go through the comps with you and explain how they draw their estimated valuation of your property. This is different from an appraisal because when you order an independent appraisal, the appraiser will come by to see your property, then they will create a written report for you and send it to you a few days later for review. Appraisers will typically include a handful of comps in the report, and they don’t typically sit with the homeowners to explain how they came up with the appraised price that they provided. It’s very common for homeowners to disagree with an appraisal because they don’t understand the methodology, or because the appraiser may not know the area well.
The way our team likes to provide home valuations is by looking at the property in person, then sitting down with the homeowner(s) to go through all of the data (closed, pending, available, month’s supply, etc) together and ultimately offer our professional opinion of the value. The value we give is never a specific number because true “market value” is what a buyer is willing to pay for it, and without being on the market, it is impossible for us to know that. Instead, what we provide is a realistic idea of where we believe offers would come in if we were to list the property at that time. We are able to do this based on our recent sales and experience selling properties in that area.
In our experience, experienced agent valuations tend to be more accurate than appraisals because in addition to the sales data which we both have access to, a local agent can also apply their recent sales experience, knowledge of the area, and local market trends to get a better idea of the property’s current value.
If you would like to get an even better idea of your property’s current value, have 3-4 agents give you their valuation. After hearing and seeing 3-4 valuations, the value should be pretty clear as long as you are realistic and not just looking to hear the highest price 🙂
So, to answer the age old question, “How much is my house worth?”, the answer is that it depends, but if you live in Queens we would be happy to offer you a free price range valuation or a free comprehensive home valuation.
If you have any questions regarding your home’s value, or if you would like to know how much your property is worth here in Queens NY, feel free to reach out anytime.