By: Laura Sheppe Miller and Elise Flagg
It has been a busy first quarter in the Scarsdale/Edgemont market! Well-priced listings are selling quickly and with multiple bids in the $1.5 and under range. Sellers are getting over asking by $50-100k in many instances and they are not accepting any contingencies other than an inspection.
Since January 1st, 43 houses are in contract or sold under $1.5MM and there are 27 active listings in Scarsdale. In Edgemont, 22 houses are in contract or sold under $1MM since January 1st and there are only 9 active in that price range. It is possible inventory is low due to the brutal winter weather we have endured this year. Many sellers are waiting for a little green on their lawns before listing their homes. We are expecting a big inventory boost after the holidays and the school break next week when the temperatures will hopefully hit a Springtime 50 degrees!
The lack of inventory motivates buyers to act quickly in fear of not finding a house this Spring. Another driving force is the low interest rates and the knowledge that they are certainly going to rise, but no one knows exactly when! Young buyers are anxious to find that first family home in the suburbs…..and the real estate market needs more inventory to feed the frenzy.
In Scarsdale, the $2MM and up range tells a different story. Buyers are sparse in that price range. There are currently 38 active listings between $2-3MM and 18 in contract or sold since January 1st. 32 active listings between $3-5MM with only 8 in contract or sold since January 1st and 12 active listings over $5MM with only 2 in contract or sold since the beginning of the year. Sellers in that price range will have to be patient or price their homes to show value to attract the few buyers in this price category.
Houlihan Lawrence has had a strong first quarter in the Scarsdale and Edgemont market! We listed approximately 51% of all the listings in contract or sold since January 1st 2015 and we sold approximately 46% of all the homes in contract or sold since January 1st 2015.
No matter what your price range, buyers would be well-advised to be prepared to act quickly. Do your homework and check out the market so when a property is listed you will recognize good value and be ready to bid competitively. Make sure your financial documents are in order. Your mortgage broker or lender will need to see recent pay stubs, W2 forms or K1s or 1099s, the last two years of your Federal Tax Returns, 3 months of bank statements/portfolio statements and more. Get pre-approved or better yet, pre-underwritten BEFORE you start looking for a home. The Scarsdale/Edgemont sellers may demand to see a pre-approval/pre-commitment letter WITH your offer, or proof of funds if the deal is all cash. They frequently want to know the buyer is well-positioned to purchase the home. Bids may not be considered otherwise.
SCARSDALE SINCE JANUARY 1, 2015
Up to $1MM: 8 active listings, 20 in contract or sold
$1-1.5MM range: 19 active listings, 23 in contract or sold
$1.5-2MM range:12 active listings, 18 in contract or sold
$2-3MM range: 38 active listings, 18 in contract or sold
$3-5MM range: 32 active listings, 8 in contract or sold
$5MM and up: 12 active listings, 2 in contract or sold
EDGEMONT SINCE JANUARY 1, 2015
Up to $1MM: 9 active listings, 22 in contract or sold
$1-2MM range: 23 active listings, 18 in contract or sold
$2-3MM range: 2 active listings, 1 in contract or sold
$3MM+ range: 2 active listing, 0 in contract or sold
We hope you all have a wonderful holiday!