Pending home sales fell again in June 2021. What does it mean for your annual property taxes?
The National Association of Realtors (NAR), reports that pending home sales across the US fell by 19.% month over month and year over year as of June.
NAR also reports this happened while unsold housing inventory rose by over 3%, and despite the fact that mortgage rates have fallen below 3%.
Pending home sales remain above the frothy levels of 2001, and the pit of the pandemic crisis last year. Yet, this decline in contracts to purchase homes comes right during what is supposed to be the year’s peak home buying season.
Existing home sales growth had already slid to near par, at just 1.4%. Dropping contract levels are a precursor to even lower actual closed home sales in following months.
This logically suggests that the next step is falling house prices and values.
This comes as New Yorkers are already facing plenty of challenges when it comes to real estate and housing.
NY is second in the nation for the most home loans in default. NYC is also second in the nation for cities with the most mortgages that are more than 30 days late, or are in foreclosure.
Rents are up too. Even out in Rochester, NY, rents are reportedly up 20% year over year, and rising. New surveys show that home buyer remorse is rife, and the majority of owners regret their home purchases. That could lead to even lower home sales.
Unfortunately, while over $2B was slated to help tenants and landlords, it seems to be being withheld, with barely $1M paid out so far.
Of course, property taxes in NY are always heading up for one excuse or another.
The powers that be have effectively created a new foreclosure moratorium until at least 2022, with mortgage payment discounts of 25% being promised by the Biden administration. Just don’t be fooled into taking out a new lien against your home, or not paying your property taxes. You can still be foreclosed on for paying your taxes late.
While this ought to all lead to lower house values and property tax assessments in the future. Most can’t wait that long. Fortunately, you can still appeal and get your property taxes lowered now with the help of Property Tax Adjusters Ltd.