The housing market in NYC is one of the most costly and competitive in the US. It was also one to sustain the hardest hit due to the pandemic. However, with more than 70% of New Yorkers vaccinated so far, the real estate market in The Big Apple is slowly reverting to what it was before the slowdown. Whether 2021 is a good year to buy an apartment in NYC depends on many factors. Let’s review the broader context and do the sums.
Should You Buy An Apartment in NYC in 2021?
Before you decide whether you should buy an apartment in New York City, you have to consider many things. It is a substantial investment and a decision such as this one should not be taken lightly.
The Impact of The Pandemic on NYC Real Estate
Between May and July 2020, the NYC property market has experienced its lowest point. Due to the work-from-home policies, renters chose not to extend leases and justify the city in large numbers. It spelled uncertainty for potential investors and buyers. They did not know how long the recovery would take, and this led to a halt. As a result, the NYC real estate market faced a sharp decline at that period compared to its previous state. However, it is worth noting that it has reported a much higher activity even in the most troublesome times than many other markets nationwide. The ongoing trends suggest that the prices of residential property are slowly but surely going up.
The Link Between Property Prices And Location
The real estate market in NYC has always been predominantly a buyers’ market. And not even the unpredictability of the pandemic has changed that. To buy an apartment in New York City for personal or investment purposes is always a good idea. Alas, the primary constraint is always the budget. In the real estate world, location is everything. It is one of the significant factors to consider while shopping for a house.
Manhattan is always in the spotlight when it comes to NYC. But it is important to note that housing in other boroughs of the city can be a much more affordable option. Just because a particular part of the city gets less attention in the media does not mean that the actual value of its property is lower. 2021 can prove to be an excellent year for purchasing an apartment in NYC with some good research and reasonable flexibility in terms of location.
Why is 2021 A Good Year To Buy An Apartment in NYC?
So far, the property sales costs in The City that Never Sleeps are more competitive than usual. You can still turn the odds in your favor and become a homeowner with a minimum down payment. Real estate analysts predict that the new upcycle will start unrolling from September this year. Like so, as it is expected that work in the office will resume at a pre-pandemic pace. Upcycles usually last for seven years, and property prices go up within this time frame.
In NYC, the demand for housing is always high, and the supply is short. Besides, in two years from now, the property prices will go up as they do with inflation. Although it is still possible to negotiate a good price for an apartment in NYC, the choices are becoming limited by the day. Hence, purchasing an apartment in NYC this year may come with advantages that will not be available in the foreseeable future.
A Lucrative Investment
Purchasing an apartment in NYC while the market is picking up has many benefits. If owning assets in The Big Apple has been your long-term dream, now it is more attainable than ever. Hence, ensure you get a good property valuation if you intend to sell in order to fund your apartment purchase in NYC. A real estate investment in a high-demand market is a wise move to secure a steady passive income through renting.
Build Equity While Enjoying Tax Benefits
Paying a mortgage monthly is the equivalent of a long-term savings plan. The apartment prices in NYC steadily increase over time. So, if you decide to sell after a few years, you will get a premium. Besides, as a homeowner, you will get a tax break. This means that the interest costs on mortgage and property taxes can result in substantial savings over time, as they are deductible. Thus, with everything aforementioned, now is the best time to buy an apartment in the Big Apple if you are financially ready for the transaction. Then, all there is justify to do is move to your new abode and figure how to furnish your new apartment.
Organize A Green Move To Your New Apartment
Moving throughout the Big Apple is never a simple feat. Transferring your possessions even a couple of blocks away is a challenge within itself. The busy streets and limited parking space, narrow staircases, and special building permits will quickly drain all the enthusiasm from moving into your newly purchased apartment. So, enlist a good local mover to simplify the complexities of your relocation.
Besides, relocations are hardly an eco-friendly feat. Luckily, some solutions can lower your footprint. For example, instead of disposable cardboard boxes, you can opt for plastic moving bins. Thus, ensure the safety of your items with greener packing solutions and benefit from their versatility. Sturdy plastic moving bins are not only an eco-friendly packing material, but they will serve you as a much-needed storage solution at home. Hence, put a cap on your apartment buying journey with the perfect move, and save your energy for planning the details of your house warming party.
The NYC real estate market has yet again proven its resistance during the pandemic. This is another point of reassurance that an investment here is a wise choice. This year is an excellent time to minimize the costs of property purchases. But, the dynamics of the market surely points to prices skyrocketing in the near future. So, the general consensus on the contending question is yes, 2021 is a good year to buy an apartment in NYC.
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