Home prices in Brooklyn have been on the rise for the past decade, and they’re predicted to continue upward throughout 2022. Not even the economic uncertainty of the past couple of years has dampened it. It’s a sellers’ market, and many potential homebuyers have been priced out of it.
In the last quarter of 2021, the average Brooklyn home sale price was close to $1,200,000. That was up almost 12% from the prior year. Townhouses with anywhere from one to three units are especially popular. They’re even attracting people from Manhattan escaping the crowds. People who no longer have to go into their Wall Street or Madison Avenue offices every day may find that they can get a bit more square footage for the money than they could if they continued living close to work.
The borough is attracting people with money from all over
What all of this means for you if you’re shopping for a home in Brooklyn is that you may be competing with people from the finance, tech and entertainment worlds with substantial incomes or family money. As Brooklyn becomes better known internationally, it’s also attracting more buyers who are new to the U.S.
While Brooklyn is known for its brownstones, plenty of new condo developments are going up alongside them. Whether you’re home shopping in Bed Stuy, Williamsburg or Park Slope, be prepared to be outbid on a home that seems to have everything you want.
When it’s a sellers’ market, buyers have to be particularly careful not to concede too much in their effort for their offer to be chosen from among a handful (or more) of others. Make sure you know exactly what you’re committing to when you sign the purchase agreement. Having experienced guidance can help prevent you from a serious and costly oversight.