Showing posts with label broker confidence index. Show all posts
Showing posts with label broker confidence index. Show all posts

Nov 22, 2013

Broker confidence down slightly in 3Q

0 comments
 Broker confidence down slightly in 3Q

New York City continues to be one of the most prosperous and dynamic real estate markets in the world.  However, expectations about future market performance were disrupted by the recent government shutdown and debt ceiling debate.

Last week, REBNY released its Real Estate Broker Confidence Index (“Index”), which polls hundreds of real estate brokers working throughout the City each quarter.  The Index survey consists of eight questions that ask participants to assess the current market and their expectations of the market six months from now.

Overall confidence for the Third Quarter of 2013 decreased slightly compared to last quarter, due primarily to concerns about political uncertainty in Washington and the lack of residential inventory.  The City’s brokers also lowered expectations for their six-month outlook, even though they reported strong confidence in present financing conditions.

Residential brokers were mainly concerned about the low production of affordable housing and increasing high end developments coming to the market, which is skewing the market in favor of very high income buyers, many reported to be non-New York City residents.  Despite these concerns, residential brokers are hopeful that more developments favoring various household incomes will come to the market, improving the local economy and housing market.

The latest increase in brokers’ confidence in the current market was chiefly due to the increase in confidence in the financing market for commercial real estate sales, for which an index of 10 was recorded.  By contrast, the residential financing average response was a 6.16, the lowest we’ve seen.  It is likely that confidence is being deflated by federal budget uncertainty coupled with more stringent Freddie Mac and Fannie Mae lending criteria.

Both residential and commercial brokers showed concern about the market six months from now due to the recent government standstill and the effect that any decisions will have on interest rates and the economy as a whole. We hope that a long-term resolution of the budget and borrowing issues in Washington will ignite a burst of confidence in the market and a pick-up in new residential construction activity to serve all New Yorkers..

A full copy of the REBNY Broker Confidence Index can be found at www.REBNY.com.
 
 
HOME

Web Analytics

Clicky

This site and its feeds are owned and operated by Mitchell Hall, a NY State licensed real estate associate broker associated with The Corcoran Group and member of the Real Estate Board of New York.

Legal Disclaimer - The opinions expressed here are those of the authors and do not neccessarily reflect the opinions or policy of The Corcoran Group. This site is not the official website of The Corcoran Group or its affiliated companies, and neither The Corcoran Group nor its affiliated companies in any way warrant the accuracy of any information contained herein. Any product and/or services offered for sale on this website shall not be considered an offer to sell such goods and/or services in any state other than New York.

Legal Disclaimer - Information on this site is not intended as legal or financial advice. - All material herein is intended for information purposes only and has been complied from sources deemed reliable. Though information is believed to be correct, it is presented subject to errors, omissions, changes or withdrawal without notice. I operate a business that supports Fair Housing.“We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the nation. We encourage and support an affirmative advertising and marketing program which there are no barriers to obtain housing because of race, color, religion, sex, handicap, familiar status or national origin.”

Copyright 2006 -2013 nyc BLOG estate All Rights Reserved