Brooklyn Home Prices Rise to Record in N.Y. Sales Frenzy – Bloomberg 07-11-13

Salient to Investors:

Miller Samuel and Douglas Elliman Real Estate said the median price of Brooklyn condominiums, co-ops and 1- to 3-family homes that sold in Q2 was $550,000, up 15 percent from a year earlier and the highest in more than a decade of record keeping.

Jonathan Miller at Miller Samuel said the inventory of listings fell 19 percent to the lowest for a Q2 since it began tracking the data in 2008, and Manhattan is experiencing the same inventory problem. Miller said homeowners who bought during the previous peak in 2007 still do not have the equity to sell and come up with a down payment for something new.

Apartment rents in Brooklyn have risen to the highest in records dating to 2008: in Manhattan they are within  2.1 percent of the previous peak at the end of 2006.

Freddie Mac said the average rate for a 30-yr mortgage is 4.51 percent, a two-year high, but below the average of 5.3 percent for the past 10 years.

Read the full article at http://www.bloomberg.com/news/2013-07-11/new-york-homebuyers-fuel-record-brooklyn-prices-in-sales-frenzy.html

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