Home in Manor Woods of Hartsdale, NY

Hartsdale is a hamlet/post office located in the town of Greenburgh. Greenburgh encompasses a large number of hamlets and villages including several river towns along the Hudson. Hartsdale itself is landlocked and near the southeast corner of Greenburgh. It is a popular location for commuters because the compact hamlet boasts its own train station on the Harlem line just 30 minutes from NYC. Ideally located just ten minutes from the hustle an bustle of downtown White Plains, Hartsdale is a great destination for those who prefer a walkable village along with an easy Manhattan commute, but still want to take advantage of the nightlife and shopping offered in downtown White Plains. Most residential neighborhoods are within walking distance of the train but for those that are not, jitney service is available during peak hours. The Hartsdale post office/zip code (10530) covers a population of about 10,000 with 4300 households which are a mix of cooperatives, condos and single family homes.

Cooperatives:

The first graph shows the average pricing for cooperatives, condos and single family homes over the third quarter of 2008 relative to the pricing during the same period the previous year. Prices for coops are down 1% when compared with the third quarter of the previous year. According to the Westchester-Putnam MLS, the avereage sales price for a coop was $228,000 as opposed to $235,000 the previous year. However, by the third quarter of 2007 a price correction was already in progress and there has been about a 6% drop off in cooperative pricing over the past 18 months. These numbers reflect what might be construed as a leveling off of this market. But looking at sales volume there may be some further downside to this market. There is nearly an 8 month inventory of coops which creates a buyer’s market for coops at this time. For a buyer in this market, it is a great time to buy. There is ample inventory and seller’s need to be realistic given the choices open to buyers.

Condominiums:

Prices show a slight up-tick over the previous year – from $424,000 in 2007 to $439,000 in 2008. However, sales volume is relatively unchanged from the previous year. Inventories are relatively low at 4.7 months which indicates that condo sales represent a fairly balanced market between buyers and sellers. Buyers of condos need to be realistic in their expectations and not ask for the moon. While sellers have to be careful to price their units competitively or they will just sit on the market.

Single Family Homes:

The first graph shows a 3.3% drop in single family home prices over the same period last year from $633,000 to $613,000. Sales volume is level with the previous year – off by 69% and the current housing inventory indicates a near seven month supply of single family homes. The inventory points to a buyer’s market in single family homes.

Buyers should take note that there are some excellent opportunities in Hartsdale if they have a long-term view.

White Plains, NY a city of close to 60,000 residents and a commuter population of over 250,000 has witnessed explosive growth over the past ten years and has proved to be remarkably resilient in spite of the housing recession that currently grips the country. Nevertheless, there has been some weakness in this market and in some sectors there have been minor corrections.

Cooperatives:

The first graph shows the average third quarter pricing for the coop, condo and single family markets in relation to the third quarter of 2007. The average cost of a coop has gone down 7.9% over the same period last year from $246,000 in 2007 to $228,000 in 2008. Prior to this report, coop prices had shown tremendous resilience with prices posting gains or staying level. Pockets of a seller’s market still exist in coops, particularly at the higher end above $300,000.

The second chart shows the current inventory of active listings versus the number of units sold during the last quarter and indicates that it will take about five months to absorb the current inventory of coops. This indicates a market that is fairly neutral between buyers and sellers. The balance of power appears to be shifting to the buyer should the trend towards larger inventories increase.

Condominiums:

Condos posted the biggest gains – up 20.3% over last year. It should be noted that I adjusted some of these numbers to reflect the fact that the Ritz Carlton of White Plains, a very high-end condominium complex had yet to have a closing at this time last year. Since it represents a new price point for the city, it skewed relative values upwards in a way that did not reflect changes in the market. The adjusted average of $481,000 is a better reflection of condo sales in general and is more relevant to buyers and sellers of units under $800,000. The actual average which reflects condos in the $2 million plus range is $514,000.

There is roughly a 6.7 month supply of active listings on the condo market making this market similar to coops in that th balance of power is shifting towards the buyer and away from the seller – higher prices notwithstanding.

Single Family Homes:

Single family home prices have been weakening since the third quarter of last year. Right now they appear to be stabilizing although with an average price of $756,000 they are down 3.4% over the same period last year. Nevertheless, this indicates a leveling off because average prices are unchanged from the previous quarter. Overall, prices for single family homes have dropped about 7% since the spring of 2007.

The 3.4 month supply of single family homes is a good reflection of a market that has undergone a dip and is now firming up. Although prices remain soft, a 3.4 month supply of inventory tilts the balance of power more in the seller’s direction.

Sales Volume:

Although the White Plains, NY market has been highly resistant to some of the downward trends gripping the country, the low sales volume indicates a market that is correcting – particularly with respect to condos and coops which have been the strong points of the market up until now. The third chart shows that sales volume is down 19 to 32% on cooperatives and condos respectively. While the uptick of 1.2% for single family homes is another indication that that particular market is leveling off.