In a report released on Jan. 28, the New York-based trade association Real Estate Board of New York (REBNY) found that the city’s real estate agent confidence appeared to have rebounded from three record lows in the final quarter of 2020, after the COVID-19 – Vaccine continues to roll out across the city and state.
According to REBNY’s Q4 2020 Quarterly Real Estate Broker Confidence Index, the current Real Estate Broker Confidence Index is 4.35 out of 10 – an increase of 41% from the lowest level in the previous quarter. Additionally, the future broker confidence index is at 5.07 – a 44% increase from Q3 2020, suggesting that brokers believe the market has already bottomed and is beginning its slow path to recovery .
Improving access to rapid screening sites and a successful, widespread adoption of COVID-19 vaccines are critical to how quickly business and economic activity will return to pre-pandemic (or at least close to) levels, claims that » The recovery in broker confidence in late 2020 shows that the industry has an increasingly positive view that we can address the immediate challenges we face, « including the boss who vaccinates and makes them safe in all of New Yorkers Facets of city life to take part – economical and different.
The rise in broker optimism is not limited to residential activities. The report states: “In the fourth quarter of 2020, both private and commercial real estate agents saw an increase in confidence compared to the previous quarter. The Residential Broker Confidence Index rose 45% to 5.81 between Q3 and Q4 and the Commercial Broker Confidence Index rose 34% from Q3 to 2.89. «
« There has been a surge in activity over the past few weeks with the budget properties that have been able to now see significant activity and even receive multiple offers, » said one broker interviewed. « There seems to be a feeling that the worst is over and that things will improve in the market in the coming months. »
Of course, there is still a lot of fear and uncertainty in both the commercial and private sectors. As noted above, the improvement in morale in the fourth quarter arguably reflects a rebound rather than an uptrend rocket. Other key findings from the Quarterly Real Estate Agent Trust Index report for the fourth quarter of 2020 include:
REBNY’s Quarterly Real Estate Agent Confidence Index is the only New York City Realtor Confidence Report that polls members of the residential and commercial real estate trade association to measure their confidence in the New York City real estate market in the five boroughs. Launched in 2012, the index compares key data and insights from the real estate industry to capture critical economic indicators such as tenant and buyer activity, pricing and the political climate. The survey records the attitudes of the brokers to the current market conditions as well as their forecasts for the market conditions in six months. The survey results are published quarterly and include general trust indices for commercial and residential real estate agents. The report has a maximum index of 10, with zero indicating the least confidence and 10 indicating the highest confidence. An index value above five indicates that the broker sentiment is more positive than negative.
Download the full quarterly Real Estate Agent Trust Index for the fourth quarter of 2020 here.