What are the key buying and selling trends?
With a slight decrease in sales volume and a slowdown in the land market, Real Estate Services Partner Lisa Knee asks panelists to share the key buying and selling trends on the horizon, including insights on residential product.
Lisa Knee: What do you think has had the biggest impact on that decrease in sales volume and what do you think the key buying and selling trends are ahead?
James Nelson: What we've really seen a huge slow down and probably no surprise here is with the land sale market. So in the first half of this year – and I think it's always important to realize when you're looking at sales statistics, these are always reported a couple of months from before, these deals were negotiated six months before – but the number of development land sales in the first half this year are down 50%. They dropped from $14 billion to, we're on pace for about $7 billion. So that's going to have major implications. That being said, if this year carries on, it'll still be okay. I mean, we have to remember that last year was a record to you here in New York City with $77,000,000,000 in sales. We’re on pace now for $63 billion, which would be the second most ever. But as far as long-term implications, if this whole development pipeline has completely been shut down, and I'm sure we'll get to that a little bit later, there's going to be a void certainly of residential product in the next three or four years, both for rental and condo.
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