The Brooklyn real estate market remains a housing hot spot, despite real estate prices in New York tumbling 10-20 percent since 2015. According to CNBC, this is due to sustained growth and demand in key neighborhoods like Park Slope and Bushwick.
Brooklyn is undoubtedly an attractive real estate market. But if you’re contemplating investing here, consider hiring a lawyer and an experienced realtor with knowledge of the local markets. This will help you navigate the borough and save you time with finding you the best Brooklyn neighborhood for your personality. Although my office is based in Staten Island, my clients refer me to their friends throughout the other boroughs. As a matter of fact, you’ll see me in Brooklyn at least once a week for food, to hang out with friends or to attend a closing. Here are my observations of the Brooklyn housing market for 2019.
Brooklyn Housing Market Information
Brooklyn used to be populated with working-class residents but rapid gentrification continues to fuel the rising demands. Today, Brooklyn is home to over 2.5 million people.
Brooklyn is renter-dominated, with about 70% of the population being renters. High-rise apartment complexes make up a little over half of the borough’s housing units with duplexes, small apartment buildings, and single-family detached homes making up the rest.
A house or apartment cost on average $748,000. At such a steep price, Brooklyn real estate is not just one of the most expensive in New York but also across the entire United States! A reporter from The Washington Post pointed out four Brooklyn neighborhoods that made it to the list of the Most Expensive Lands in the country. What the neighborhoods have in common is their convenient proximity to the F-train, high-paying jobs, and food co-ops.
Brooklyn – Pizza and Halal
My favorite pizza in Brooklyn is L&B’s. They have the best Sicilian pie, period! Brooklyn also has my favorite meat cart on 86th and 5th Avenue. I used to go there every Wednesday for their chicken over spicy rice – lot of white sauce and hot sauce. I think this is the best cart in all of NYC. It’s called Middle Eastern Halal Food and you can find them here. Whenever I drive to Brooklyn for any reason, something new is opening up. It’s hard to keep up.
Real Estate Appreciation in Brooklyn
Although home values in Brooklyn have dropped by 1% compared to 2018, the recent annual appreciation rate is still higher than what is obtained in 80% of other cities in New York.
To paint the picture clearer, Brooklyn real estate has appreciated by about 55% in the last ten years, according to Neighborhood Scout. That translates to a 4.48% yearly increase.
Should You Invest in Brooklyn Real Estate Market?
Along with the impressive rate of appreciation, the Brooklyn real estate market offers enough opportunities for real estate investors looking to make decent returns from their investment.
According to Mansion Global, the median rent in Brooklyn increased to $3,015 in August 2019. This is an impressive 2.2% year-over-year increase as well as an all-time high price.
If you’re wondering whether the market here is worth your time and investment, it is. It has something for everyone, whether you’re in the market for properties that would appreciate significantly with time or looking to make decent returns on your real estate investment. Despite declining prices and reduced activities in many real estate markets across the country, the market in Brooklyn remains strong and desirable for savvy real estate investors.
If you’re going to invest in Brooklyn, make well-informed decisions by adding a real estate lawyer to your A-Team. A real estate lawyer who has experience closing homes in Brooklyn will have your best interests in mind. He or she will help you navigate the legal complexities by holding your hand through the process. This way, you’ll save your energy and spend time on furnishing your new home instead.
My law firm will ensure that you tick all of the boxes at the right places so you can get maximum value and peace of mind from your investment. Contact us today to get started.
This information, based on New York law, was provided courtesy of The Law Office of Christopher J. Arrigali, P.C. It is intended to inform, not to advise. No one should try to interpret or apply any law without the assistance of legal counsel. Please click here for the full disclaimer.
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