Have home values on Long Island finally hit bottom?
According to a recent report from Prudential Douglas Elliman as reported by Newsday, with the exception of Long Island’s east-end (Hamptons and North Fork), home values have remained reasonably stable, with some neighborhoods dropping slightly, while other areas showed measurable appreciation. In fact, according to CoreLogic’s Home Price Index, if we back out distressed sales, New York State has seen home values increase by 4.5% between March 2010 and March 2011!
According to Liz English, President of the Long Island Board of Realtors, consumers are optimistic about the future health of Long Island’s real estate market. And from my own informal survey, Realtors across Long Island are reporting that serious buyers are no longer waiting for prices to drop. Realistically priced houses are getting offers and Realtors are beginning to see a general perception amongst buyers that home prices are pretty much at bottom.
Nationwide, real estate is also showing signs of recovery. “Existing home sales have risen six of the past eight months,” as reported by Lawrence Yun, Chief Economist for the National Association of Realtors. “We are clearly on a recovery path. With rising jobs and excellent affordability conditions, we project moderate improvements into 2012.” Yun went on to say, “Not every month will show gain, primarily because some buyers are finding it too difficult to obtain mortgages…Sales would be noticeably stronger if mortgage lending would return to the normal, safe (underwriting) standards that were in place a decade ago.”
Lawrence Yun’s statement drives home a point I’ve been making for well over a year:
Strong buyers with good qualifications are still being denied mortgages by the “Big Banks,” and for all the wrong reasons.
However, MORTGAGE FINANCING IS STILL AVAILABLE, as long as you consult and work with a competent and qualified Mortgage Planner before you find that house.
When I’m consulted before my clients start house-hunting, they consistently enjoy peace of mind, clarity in their home-search, and they close with a great rate and a smile on their face.
Don’t entrust the largest financial investment of your life to some smooth-talking bank salesperson. Stick with the pros.
Warren Goldberg is a Mortgage Planner, and published author. His interviews include Blog-Talk Radio, Newsday, and the Long Island Herald. His newsletter is read by almost two thousand subscribers.Since 1992, he’s been sharing his financial knowledge and wealth-building strategies, including how to properly use your mortgage as a financial tool. His clients regularly express their trust and appreciation by recommending friends and family call when in need of mortgage, real estate, and financial guidance.
 Newsday 4/21/11, page A41.
 Newsday 4/22/11, page A39.