Long Island Short Sales Decline Again!

Two of the three Long Island counties showed a decrease in the amount of short sale inventory. This data alone is not enough to get excited about; however, if you add the fact that new foreclosure filings are also down this could be very good news.

Nassau county on the other had seems to be showing signs of increasing short sales and foreclosure filings. All the past metrics shown that Nassau has been the healthiest of the three counties over the past few years and I don’t believe there is going to be an drastic change in the coming months.

As you can see we had a large increase in the median sales price in all three counties  since January ‘10. The increase was caused by an increase in higher priced homes selling apposed to the home prices increasing. Now that the market has settled again after the Homebuyer Tax Credit, it seems the median sales prices is starting to decrease again. Many experts expect to see a decrease as much as 10% from May 2010  high, I tend to agree with them.

Anytime the total months of un-sold home inventory decreases it is a good thing; however, a steady trend would would have to develop before it would mean the market is stabilizing.

Long Island home inventory is still increasing!

Even with the home buyer tax credit the total amount of homes for sale on Long Island has increased for the fifth consecutive month, bringing all three counties close to an 18month high.

Unfortunately with current supply of homes for sale out weighting demand home prices will not stabilizing in the near future.

Nassau County luxury home sales has hit an 18 month high this month with 88 luxury homes going to contract in June ‘10. Unfortunately Suffolk & Queens did not see the same prosperity, both Suffolk & Queens counties saw a decrease in sales in the luxury home market.

Looks like the Long Island short sale inventory has peaked out. Suffolk county is showing a decrease in it’s short sale inventory, Nassau & Queens county seems to be flattening out also. This is excellent news after seeing all three counties short sale inventory increasing over the past 5 months. Would like to see this trend continue.

Even though there was an increase in bank owned inventory all three counties seems to be selling the bank owned properties (foreclosures) as fast as they are coming on the market, which is a good sign. Suffolk County is the county to watch if the inventory continues to increase there will be increase pressure on home prices.

In June there was a large increase in new bank owned properties (REO’s) coming on the market. Maybe some of the shadow inventory that everyone has been talking about is starting to get through the jammed up foreclosure process. If that is true than the new bank owned inventory will put pressure on home prices.