Real estate trends in Bushwick, NY

Whether you’re interested in selling or buying real estate in Bushwick, NY, it’s a good idea to familiarize with all the latest happenings in the field of real estate. The more information you have, the higher the chance that you’ll get a good deal. That’s why we have prepared this article on real estate trends in Bushwick, NY. Read on if you want to get an edge on the real estate market.

It’s not all sunshine and roses on the real estate market

The last two years weren’t that good for people in the real estate business. Home prices saw a 10 percent increase. As expected, this led to less real estate being sold. Luckily, 2019 is so far a better year for everyone involved in real estate. While home prices will probably still rise, that will happen at a much slower pace. On the other hand, experts estimate that the number of property for sale will rise by a mere one percent, even though there are eight percent more homes being built. This means that people will be looking to buy more property than it is available. The bottom line of all this is unsatisfactory: newly constructed property, if you can get it, will be more expensive!

What does this mean in practical terms?

If you’re a seller, that’s not so bad, as there’ll be (slightly) more property to sell. However, that also means that home prices will be out of range for most buyers. Thus, you’ll have fewer offers for the real estate that you’re selling. The key, therefore, is to try to do what you can in order for your property to stand out so that the precious few buyers don’t go with your competition. One way to do that is to remodel the property that you’re selling and try to make it more modern.

A lot of money.
Unless you have this much money, think hard on whether you can afford a property.

And if you are a buyer in Bushwick, be sure that you can actually afford the property that you’re interested in buying. The down payment of less than 10 percent on a 15-year fixed-rate would be very bad for your finances. Putting such a small down payment means that monthly mortgage payments will be huge. If you can’t afford to put a down payment that amounts to at least 10 percent of the overall price, then most likely the property is too expensive for you. 

If you really want the one specific, expensive property, you can probably save enough money by cutting other expenses. However, it’s probably a better idea to wait before the prices get lower. Cutting expenses would probably mean that, for example, you wouldn’t be able to afford a moving company. Moving without the help of professional movers means that you’ll save money, but at the cost of your nerves. On the other hand, if you find a moving company that is both affordable and reliable, like Dynamic Movers NYC, you just might be able to pull it off.

The fact that mortgage interest rates are increasing is an important factor among new real estate trends

We’ve mentioned that if your down payment is less than 10 percent of the overall price, the mortgage monthly payments will be huge. That’s even truer because mortgage interest rates are now higher than they’ve been in the last seven years! They’re expected to rise to an average of 4.4 percent for a mortgage that you’ll be paying for 15 years.

Obviously, that’s bad for sellers in Bushwick, as the increased price combined with the rising mortgage interest rates means that the property will probably be on the market longer. What you can do is be patient, and not sell for a lower price out of desperation. You’ll probably need to save money while waiting and remodel at the same time. Luckily, remodeling on a budget is not a myth!

An image resembling a coaster or a sticker with the words "Best Seller" on it.
Because of the unfavorable real estate trends, even the best sellers will have a hard time selling homes.

As for the buyers, higher interest rates mean that it’s probably not wise to go with a 30-year mortgage. Again, be very careful that you don’t end up buying a property that’s too expensive for your long-term finances. Hiring Bushwick moving experts that are affordable will help you, as long as you go with a 15-year mortgage.

Millennials are now a dominant force among the buyers

The third among the real estate trends in 2019 that we will discuss has to do with millennials becoming the majority when it comes to people that are buying homes. This makes sense, as millennials have grown old enough to have stable careers and be able to afford a property.

A millennial using a laptop (perhaps to gather information on the latest real estate trends before buying).
Millennials have now become old enough to form the majority of buyers.

This is even more relevant when we’re talking about real estate trends in Bushwick. That’s because Brooklyn is the favorite New York borough when it comes to millennials!

What does this mean for sellers?

The different age-group of the majority of buyers means that the sellers will have to modify their tactics. Here are some of the useful things you can do:

  • – Millennials have been using the internet from an early age. So, make sure that you have a good internet presence. Have good photos and a website that is informative, functional and nicely designed.
  • – Millennials are in touch with the latest technological advances. That means that they’re looking for homes with smart appliances. As they’ll be spending a lot of energy, another thing that’s important to them is that their homes are energy-efficient.
  • – The millennials value quality more than size. That doesn’t mean that the size of their potential home is irrelevant to them, but they’re more interested in how useful space is. That’s why you should remove your things from the property before showing it. That way, the millennials (and other buyers) will be able to have a better picture of what their home will look like.

As for the buyers in Bushwick, this doesn’t change much. One advice we can always give is to hire a real estate agent. Millennials are already aware of the advantages that hiring such an agent entails, as 90 percent of millennials that were buying homes during the last year have had professional help. In the future, hiring a real estate agent will definitely be among the most important real estate trends. So, be like a millennial and hire an agent!

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