Is New York in the midst of a condo bubble? Too much supply?
CNBC published an article yesterday predicting a housing bubble in their multi-family condo market.
Real Estate Weekly notes that 70 cranes dotted the Manhattan market in 2015, twice as many as the year before, and almost seven times the number of cranes currently working in Los Angeles. They are mostly devoted to high end condos.
The article also noted that in Manhattan, there are 5,377 units that are being constructed. There have been plenty of headlines noting a slowdown in global investors putting their money to work in New York and how inventory is outpacing demand – but that is New York.
Here in Seattle we have job growth, wage growth and a severe shortage in condominium inventory. Until we add more supply, we will continue to be in a sellers market. Here is an article from last month drawing comparisons to other major US cities (including New York, San Fran and Miami).
The amount of apartments being built in Seattle worries us a bit, but not condos.