Construction may encourage homebuyers to move to certain boroughs
If you plan to purchase real estate in New York, NY, pay close attention to new construction projects that have been proposed in certain boroughs of the Big Apple. The overall market in the city has shown positive growth, as raising rents have persuaded many first-time buyers into purchasing property as long-term investments. However, potential developments in certain areas may actually decrease home values - especially if the facilities are unwelcomed by current homeowners.
Recently, residents in the Upper East Side have begun to protest the construction of waste transfer stations slated for their neighborhoods. Currently, approximately 60 percent of the city's garbage goes through plants in the South Bronx and along Newtown Creek, reports NY Daily News. These neighborhoods were expected to get relief from a landmark 2006 garbage plan, but recent proceedings have been met by fierce opposition.
One of the planned stations on East 91st in the upper East Side has been held up by lawsuits, but is still scheduled to open in 2015. However, local residents hope to block the construction, as the facility may negatively impact the home values in the area.
First-time homebuyers looking to purchase real estate in New York City may want to avoid areas where potential public works projects may decrease values down the line. Purchasing a home is an investment worth making, but it is essential to consider possible negatives of moving into a borough or neighborhood.
Median sales prices in the Big Apple has increased 0.1 percent year-over-year to $1,060,845, so buyers who want to get into the housing market before prices rise any higher may want to act fast. With the national unemployment rate falling to 8.2 percent, many New Yorkers may find new employment opportunities and upgrade to larger city properties. The transitioning could open up many affordable housing options for buyers moving into the area for work.
The United States housing market has experienced growth in 2012, and experts all across the country foresee an even greater uptick in consumer confidence moving forward. It may be worthwhile for first-time homebuyers to look into purchasing their first home today before prices and values begin rising steadily into the future.