Western New York has experienced growth and is currently a seller’s market, and there doesn’t seem to be a slowdown on the horizon. New York City itself is one of the most expensive real estate markets globally, making it a highly competitive arena for both sellers and renters. However, when the coronavirus pandemic hit New York hard, many job losses led to instability of the housing market. The United States suffered a nation-wide economic turmoil, the largest one since the Great Depression of the 1930s. Still, residential real estate has been remarkably resilient, managing to recover after the initial heavy lockdowns in the spring. So, before we look at Buffalo, NY housing trends and predictions, let’s take a look at what’s been happening in New York State.
New York housing trends and predictions
When the economy reopened in the summer, the business definitely picked up, which led to a busy end of the year. Sales have been higher than usual despite the cold weather.
The current trends are shifting away from renting and further towards a shoppers market. Demand for rent is staggering, leading to lower prices due to higher vacancies. Also, buyer demands have broken a slump in the low sale of real estate that has been going on for several years. Moreover, both sales and prices have been increasing if we compare them to their counterparts from the previous year.
Since the increase in corona vaccine availability, future strict lockdown measures are not expected. This is further reinforced by a lower corona positivity rate in the state of New York, the lowest since November. The global coronavirus pandemic has set specific trends in the real estate industry that New York has followed as well. More and more businesses are reopening, which is slowly leading to the recovery of the rental market.
Why Buffalo?
People have started looking away from New York City westwards to Buffalo as a good place for investment properties. Being the sixth largest community in New York, Buffalo has pretty much mirrored the trends of other large cities in the state. Rental real estate is looking especially appealing since real estate prices are relatively low while the rental rates are high.
Older homes have mainly dominated the housing market in Buffalo, and a large majority of the available homes were built before the Second World War. When most of the buildings were under construction, a popular trend was that they have small apartments so people could be close to their jobs. Such properties are especially interesting to those in the rental market since small apartment buildings in Buffalo can go for the price of one piece of expensive real estate elsewhere in New York. Many consider purchasing a multiple apartment building and renting to tenants as a form of investment.
A place to call home
Buffalo is interesting even if you are not in the game of purchasing a rental investment property but are looking to relocate there instead. The number of young people, mainly aged between 25 to 34, moving to Buffalo has been increasing and has grown by 15% over the last decade. The young population has impacted Buffalo in many beneficial ways, bringing fine dining and the arts with them. Buffalo has become an excellent option for New Yorkers who want to relocate just around the corner. The fact that it is located only 20 miles from Niagara Falls means Buffalo is a great out-of-the-way place that is still close for those seeking relaxation in the national park, entertainment, or job opportunities.
Low real estate prices also make it a good option for a second home, which has been increasingly popular. Many people are considering second homes, especially since the lockdowns that happened last spring, as a chance to get away somewhere – ideally not too far. For New Yorkers, Buffalo is a great getaway because it is within state lines.
Hotspots in Buffalo
Supply is barely meeting demand in certain places, and people are going above and beyond for the properties they want. We are most likely seeing demand that was waiting for the market to recover from stagnation due to COVID-19 lockdowns. The many neighborhoods in Buffalo will allow everyone to find the perfect place for themselves. Compared to national averages, Buffalo’s local communities are safer, calmer, and cheaper than most.
Buffalo, NY housing trends and predictions make these the most sought after locations in the local real estate market:
- Buffalo
- North Buffalo
- Williamsville
- Hamburg
- Amherst
Tips for buyers
A low cost of living, highly rated schools, and a low crime rate together with a growing young population are driving more New Yorkers to consider moving to Buffalo. If you want to make this place your new home, here are a few things you need to consider when purchasing a property in Buffalo:
- Be persistent when searching; new properties are always coming to the market.
- Hire an agent, preferably one that comes with a good recommendation.
- Talk to your bank in advance about the mortgage and getting pre-approved, which can allow you to act quickly.
- Good properties go fast, so be sure to check the market often and jump when you see a good opportunity.
- Perform a thorough comparative real estate analysis to determine the property’s value and durability.
- Set aside additional funds so that you can go over the asking price if you really want a property.
- Terms of the contract can sometimes mean more than the highest bid
Conclusion
When searching for a great real estate deal, consider properties in Western New York. The current Buffalo, NY housing trends and predictions make it an excellent investment, regardless of whether you want an investment property or a new place to call home. Buffalo could just be what you are looking for.
