As we begin the sixth week of social distancing, home schooling and self quarantining, uncertainty seems to be the overwhelming theme of many conversations, including conversations about real estate. Some Greenwich residents offered their thoughts regarding the real estate market.
Q: You recently purchased a house in Greenwich. How do you feel about the timing of your purchase and what are your thoughts about the real estate market now that Covid-19 has impacted our lives?
A: “I’m bullish on NYC suburban real estate as a result of the quarantine. I think a lot of NYC/Brooklynites will reconsider the need for more space. This also coincides with an aging millennial generation who have been communal living advocates up until now.
This whole ordeal has gotten us to appreciate friends and family more. I think there has been a return to family values which will continue when this passes. All of which lends well to buying a home. Interest rates speak for themselves.”
A: “We moved in to our new home right before social distancing began in earnest — having the green space, play space, and WORK space has made all the difference. Putting down roots in Greenwich is exciting, and we love the community.
Though the market is expensive, we feel we paid a fair price for our home and got a lot for our money; plus there are many many opportunities to build sweat equity, and add value. Being open to location is important, as there are no ‘bad parts’ of Greenwich…but trying to get everything you think you want, where you want it, may be a costly venture.”
A: “Regarding the Greenwich Real Estate market, I have the impression that it has already dropped so much that it’s probably bottoming up. Greenwich will always be the only Connecticut town that’s 40min away from Manhattan. I don’t see the market losing another 30% at these prices. People who were hesitating before are definitely going to want to get out of Manhattan after this is over.”
Q: You’re a current Greenwich resident and homeowner who was considering selling your home prior to Covid-19. Have you decided to wait until this pandemic is behind us before listing your house for sale and if so why?
A: “We have decided to hold off on listing for the time but will reconsider when the traditional “spring market” arrives, which may be in the fall at this rate! Given my belief that interest rates will remain low for the time being, I believe both buyers and sellers will benefit from what will likely be a ‘motivated’ market on all fronts once some sense of normalcy returns.”
I also spoke with a well known local developer who said that he plans to continue buying investment properties to be rented out since there is currently a high demand for rental properties.
As you can see below, homes are still being listed on the market for sale but the number of closings are down. I suspect that we won’t truly know how much this has affected sales for a few more weeks since many of the closings that are happening now, were already under contract before we were facing Covid-19.
In contrast, 24 homes rented this week in town which demonstrates the current trend in real estate. Many people have reached out to me and my colleagues stating that they plan to rent for one year before deciding where in Greenwich they would like to purchase a home. Many of the same people were looking for short term rentals just a few weeks ago. The question is, will we soon run out of rental inventory and will those who had planned to rent first, decide to buy instead or will more sellers offer their homes for rent now in hopes of selling to their tenants a year from now?
We will see more and more New Yorkers headed our way over the next year as their leases end and they’re able to sell or rent out their apartments but many are unable to make a permanent move right away.
This week’s highlights in Greenwich real estate:
- 24 new to market listings
- 5 sold properties
- 5 price reductions
- 6 accepted offers