Brooklyn Real Estate Market Report 2022. Courtesy of the Brooklyn Home Team at Keller Williams Realty Empire in Brooklyn NY. Need Help? Contact Us anytime.
Last updated on 7/26/2022.
Happy Summer from BHT! Hopefully you’ve been enjoying the warm weather and sun filled activities. Here at BHT we’ve been enjoying the Summer and also working hard as usual.
As for the market, surprisingly the higher mortgage rates have not stopped the market. We’ve definitely been seeing a slowdown in demand and more price changes across the county, but overall the market has continued to move.
In terms of home sales, they declined this quarter but are still up slightly compared to Q2 2021. The trend however, is clearly downward. When looking at the last 3 quarters, it is pretty clear that transaction count is declining. As for home prices, they dropped 2.7% from last quarter, but still up 5.4% year over year.
And lastly, regarding month’s supply, the figure which measures supply and demand, we currently have 6.8 month’s supply. This indicates a “balanced market”, however, inventory is on the rise and demand is declining so month’s supply will most likely increase over the next two quarters. How much it rises will give us a good indication as to what type of market we will be in next year. Broad consensus among agents and lenders is that we are shifting into a buyer’s market and will most likely see more inventory as mortgage rates rise.
We’ll see how it all plays out and keep you posted as we see changes in real time.
What is Month’s Supply? Months of supply is the measure of how many months it would take for the current inventory of homes on the market to sell, given the current pace of home sales. For example, if there are 50 homes on the market and 10 homes selling each month, there is a 5 month supply of homes for sale.
Months of supply is a good indicator of whether a particular real estate market is favoring buyers or sellers. Typically, a market that favors sellers has less than 6 months of supply, while more than 6 months of supply indicates an excess of homes for sale that favors buyers.
- # of Homes on the Market: 1,941 (Was 1,902 last quarter)
- # of Homes selling each month: 286 (Was 316 last quarter)
- Month’s Supply: 6.8 (Was 6.2 last month)
Market in favor of: [ ] Buyers [ ] Sellers [ X ] Balanced
Curious how these numbers affect you? Contact us today for a Free Local Market Report: www.bklynhometeam.com/localmarketreport.
Brooklyn Home Sales
The Brooklyn Board of REALTORS® reported a total of 842 home sales in the 2nd quarter of 2022. That’s DOWN 3.7% from last quarter and UP 0.4% compared to the same quarter of last year.
Brooklyn Home Prices
At the end of the 2nd Quarter 2022, the median home price in Brooklyn was $811K. That’s DOWN 2.7% from last quarter and UP 5.4% compared to the same quarter of last year.
At the end of the 2nd Quarter 2022, there was a 6.8-month supply of housing inventory in Brooklyn. That’s UP from the 6.2 month’s supply we had in the previous quarter and down from the 9-month’s supply we had in the same quarter of last year. As for active listings, currently there are a total of 1,942 homes for sale in Brooklyn (as per BNYMLS). That’s DOWN from the 1,902 homes we had for sale last quarter and DOWN 19.7% compared to the same quarter of last year when there were 2,416 homes for sale.
Mortgage Industry Insights
“On Monday, July 25, 2022, the current average rate for a 30-year fixed mortgage is 5.65%, falling 10 basis points over the last week. If you’re looking to refinance your current loan, today’s national average 30-year fixed refinance rate is 5.59%, down 10 basis points over the last seven days. In addition, today’s average 15-year refinance rate is 4.85%, decreasing 6 basis points over the last week. Whether buying or refinancing, Bankrate often has offers well below the national average, displaying the rate, APR (rate plus costs) and estimated monthly payment to help you compare deals and finance your home for less. With rates increasing, it’s important to compare today’s mortgage rates before committing to a loan…
Good Reads & Listens
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*The opinions expressed in this Brooklyn Real Estate Market Analysis 2021 are intended to supplement opinions on real estate expressed by local and national media, local Brooklyn real estate agents and other expert sources. You should not treat any opinion expressed on this report as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of opinion. The Brooklyn Home Team at Keller Williams Realty Empire does not guarantee and is not responsible for the accuracy or completeness of information, and provides said information without warranties of any kind. All information presented herein is intended and should be used for educational purposes only. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. All investments involve some degree of risk. The Brooklyn Home Team will not be liable for any loss or damage caused by your reliance on information contained in this report.