I'm kinda curious to see what peoples opinions/thoughts on the residential real estate market is in New York City area (and if you want to break it down by Prime, 'fringe' like Harlem, FiDi, LIC, Willyburg, Jersey City, etc) going forward. Obviously prices have not retraced as much as they have elsewhere but is this due to the 'forever demand' for NYC real estate or has the market just been buoyed by a weaker dollar and foreign buyers who will only float the up move for so long? Do you think things are going to come crashing down or is NYC only going to go up up up? Doesnt this make real estate, even in the suburbs of NYC, a bit out of price for MAAAAAAAANY people, sometimes even those in high finance?
I know one item that I think of is the fact that the rates are so incredibly low right now for mortgages but when they start to go up the market will start to crash down again. Why? Because people buy what they can afford, and the demand for a 400k house at 4 percent a year is the same as a 340k house at 7 percent a year (im not sure if the math is spot on on this but just as an example). Any other points that people want to make or point out I'd be curious to hear... I know other places like Texas and the Midwest didnt get hit as hard (or fly as high) as the Southwest and all..
