Memorial Day weekend on Long Island has passed, high school graduations are being celebrated and summer begins in just a few days. We thought this was the perfect time to check in on the Long Island market. Last summer, the market showed signs of slowing down after the COVID-19 pandemic. We’ve all seen the headlines on the economy and news that sales and even prices are on the decline. But what are agents experiencing?
Sheri Winter-Parker
THE CORCORAN GROUP
NORTH FORK
“So far on the North Fork, I am seeing that sellers need to be smart about how they approach the market. Pricing your home too high right now is not the right or best strategy. Savvy buyers are buying now and spending their money wisely instead of waiting. We are lucky because we have experienced appreciation and prices are holding steady. Aiming for higher is not the approach. Listen to your broker and make sure you are working with the best!”
Rachel King
SERHANT
MANHASSET
“Specifically, on the Gold Coast of Long Island, there exists a stark contrast between two distinct markets. The Long Island market, known for its seasonality, witnessed a surge in activity during this period. Prospective buyers are eager to secure a property before the commencement of the upcoming school year. Properties priced under $2 million are particularly sought-after, attracting individuals who have an urgent need to buy or sell. The high demand and low inventory in this segment has led to intense bidding wars, with some buyers even foregoing home inspections, and offers being accepted even before the first open house takes place. In contrast, the luxury market is currently experiencing a slowdown. This segment comprises buyers and sellers who are not necessarily compelled to make immediate transactions. Buyers in the luxury market are taking their time, meticulously considering a range of options available locally and across the country. Additionally, the luxury market buyer pool has diminished since last summer, partly due to the impact of rising interest rates on budgets and cash reserves.”
Jason Orsini
DOUGLAS ELLIMAN
PLAINVIEW
The only metric that’s down is inventory. Prices are still increasing, just at a slower rate than last year. There aren’t enough homes for sale to meet the current buyer demand and that won’t change until mortgage rates come down or people have another place to move. We are still experiencing lines out the door with multiple offers in one weekend. If a home is well-priced it could get 20 offers and sell $50,000 over the asking price. I don’t see prices dropping anytime soon.
James Keogh
THE ATLANTIC TEAM
DOUGLAS ELLIMAN
EAST HAMPTON
“Our team has experienced continued strength in transactions despite limited sale inventory. Our fine-tuned sales pricing has been critical in driving continued buyer demand and helps us to move most listings in time for summer. A house priced to perfection is often still sold in weeks not months, sometimes with multiple bids over ask. Oftentimes we are seeing many buyers rush in to secure a good deal. Sales prices have remained intact, plateauing but certainly not moving down. We continue to encourage our clients to list while momentum is still in our seasonal favor. The good news for buyers is the inventory is starting to come online and for the first time in years a buyer can look around at various options and not feel the pressure to move as quickly. The Hamptons are clearly still the spot everyone wants to be, and there is nothing wrong with some breathing room for everyone to find their perfect home or upgrade property.”
Melanie Cogan
COMPASS
ROSLYN HEIGHTS
“The luxury market continues to hold its value here on the North Shore. There is a steady stream of buyers at all price points, bidding wars are still taking place when a home is well maintained, properly marketed and priced correctly. We are encouraging our sellers to go on the market to achieve maximum results. Buyers are looking for any and all off-market opportunities to limit their competition. Usually we (agents) are the ones making those valuable introductions.”
Alexa Starr
THE AGENCY
HUNTINGTON
“The market is still blazing hot, but it is fully dependent on the price range of the property and the time of the month we are in. Last week homes were on the market for a week with over 20 offers per home on houses between $500,000 to $1,000,000, yet a slowdown in the luxury market in homes over the $2 million mark for a few months now. This week we are facing a little bit of a slower market. The lack of inventory is the biggest issue we are facing in every area of the market, and with the competitive nature of real estate right now we find buyers are starting to back down, renewing their leases and waiting for the burn out which is creating a major cool off. Though we find this time of year into summer to be slow no matter what year it is, with weddings, graduations, proms and other events held in the late Spring we find this time of year to always be a halt in the rush of buying or selling homes. We shall see how the fall market differs!”
Molly Deegan
BRANCH REAL
ESTATE SEA CLIFF
“Personally, I feel that homes are beginning to trickle back onto the market. We are still very much in a seller’s market and buyers are circling! The moment a property becomes available it is immediately snapped up, so buyers must be ready to act fast. While list prices have come down and normalized a bit, many homes are trading way above asking prices. Buyers must be extremely competitive and make strong offers to secure their dream home. For agents these days, it can be difficult to secure homes for buyers because the competition is so great. If you are looking for a home, have your ducks in a row. Make sure you are pre-approved and have proof of funds and speak to your realtor about other ways you can make your offer more attractive to a seller.”
This article Real Estate Roundtable appeared in the June 2023 issue of Behind The Hedges Powered By the Long Island Press. To read the full digital edition, click here. Read more of our Real Estate Roundtable columns here.
