Seller's Market For Hudson Valley Homes: Report

Looks as if the spring of 2018 may be a tough market for homebuyers in Orange, Putnam, Rockland and Westchester counties. In the first quarter, prices continued to strengthen in all four counties in the region while days on market were down, according to the Hudson Gateway Association of Realtors.

HGAR reported sales of residential housing during the first quarter of 2018 in the lower Hudson Valley market served by the Hudson Gateway Multiple Listing Service, while still strong when compared to the last several years, were flat to somewhat lower as compared to the first quarter of 2017.

That, they said, is a clear indication that the continuing erosion in inventories is negatively affecting sales activity while putting upward pressure on prices.

Inventory of a single-family residence was down 7.3 percent in Westchester, 12 percent in Rockland, 21.5 percent in Putnam and 17.1 percent in Orange County as compared to the first quarter of 2017.

Prices shot up the most in Putnam County. Putnam saw the largest percentage increase in price (9.4 percent) for a single-family home. This translates to a median price of $323,750 as compared to $296,000 for the first quarter of 2017.

The median sale price for a single-family residence in Westchester rose 2.2 percent to $613,250 from $600,000 in first quarter 2017.

Median sale price of a single-family residence in Rockland rose 2.4 percent to $435,000, the second highest median price in the region.

In Orange County, single family home sale prices rose to a median of $240,000, a 4.3 percent increase from the previous year. The median sale price of a single-family home in Orange County at the end of the first quarter of 2009 was $310,000 which likely explains why Orange County is now experiencing some of the larger percentage gains in price, HGAR analysts said.

Looking at the rest of the year, analysts cited the effect of federal tax reform on the region with its high property taxes and the volatile stock market as possible contributors to flat sales. On the other hand, they said, "with mortgage rates remaining attractive, unemployment low, and economic development activity high in the region, the prospects for another healthy year for real estate sales in the region remain bright."