ROCHESTER, N.Y. (WROC) — In the Rochester region, we’re seeing an extremely busy 2021 season for new home construction, and home remodeling. It’s also a hot market for buying existing homes.
Rick Herman of the Rochester Homebuilder’s Association says the demand for new homes, is like nothing we’ve seen before.
“The new home market is still very, very active. We’re being delayed by supply chain issues, lumber pricing and things of that nature. And then the real estate industry, in general, is just out of control. It’s crazy because of the existing inventory, because of new home construction, we’re having a time delay period of delivering things…it’s just a market we haven’t seen before,” says Herman.
Herman did add more workers could be returning to the job market once the unemployment stipend runs out next month, which could increase the availability of workers. There’s also a surge in remodeling existing homes post-pandemic.
“People are finding that they need workstations for children and they need work areas for themselves or a home office,” he says.
Herman says when it comes to existing homes and the high prices, he says the pipeline isn’t that full, —- but demand is high.
“Historically, we’ve been the ‘Steady Eddie’ of Upstate New York,” says Jeremias ‘J-Man’ Manerio with Re/Max Real Estate on the home prices here.
Manerio says buyers have been taking a bit of a temporary break, and the market could turn in their favor and balance out.
“It will be more affordable for buyers depending on what happens with interest rates in the future,” he says. He adds that you might see a brief decline in the high-tempo bidding we’ve seen on houses.
“You might get a property for full asking, or maybe even just a bit under,” says Manerio.
Lanie Bittner 2021 President of the Greater Rochester Realator’s Association, says the average price nationally is far higher than our typical home here: $173,000. It’s been a seller’s market here for about five years.
“So if people are waiting for prices to drop dramatically before they dip their toes into that buyer market, I don’t think that’s going to happen,” says Bittner.
She says unless a large rash of houses flood the market, “I don’t foresee any dramatic changes for next year, either.”