Thursday, December 19, 2019

Halstead Open House Index - Report from the Weekend of December 15, 2019



Good morning Halstead Open House Index followers and contributors!

Here is the analysis of the weekend of December 14-15:

We received only 237 surveys (still, much better than the 200 we received last year on December 16, 2018 weekend), and the average for all of NYC dipped to 2.46 attendees per open houses. It was 2.65 the weekend prior and 2.39 a year ago.

56 open houses reported zero attendance, so at 23.6% of all open houses agents were having uninterrupted chit-chat with building personnel and residents. Slow open houses are a good opportunity to meet other owners and secure another exclusive!

The most visited open house mention goes this week to Elba Diaz, from Buchbinder Warren. She reported 15 visitors at her open house for 105 East 19th Street, a 2BR for $1,100,00 in the Gramercy Park area of Manhattan. Here, in her own words: “Hi Fritz, I’m shocked. I guess given the time of year 15 in attendance is not bad! Yes 15 is confirmed. I think location, location and price per sq foot. The unit needs renovation. But it’s a unique, large apartment. This was the 2nd open house after a price drop from $1200K to $1100K. Honestly, it was not difficult to handle (the crowd). The duplex has an intercom on both floors so I was able to ring people in and run upstairs to greet them and allow them to roam as I spoke to others. I did receive an offer, however it’s with a contingency and we are still trying to work out all the details. This is not my first offer however, I had two others previously but we were not able to agree on terms. I believe hosting open houses consistently is still the best way to show a property. Some in attendance may have been curious spectators BUT I received an offer from a real buyer so you never know.” 

There were 5589 open houses held last weekend in NYC and, according to my estimate, there were approximately 3638 prospective buyers hopping from one to another. Here is the dataset. Let’s check the details for each borough:

Manhattan – the average attendance dropped to 2.27, from 2.34 the weekend prior. Manhattan recorded 2.42 last year on the weekend of December 16, 2018. Busy in the Gramercy Park Area (4.57) and East Village (3.50). Upper East Side (2.78) and Upper West Side (2.61) were above the average. Slow pretty much everywhere else: Harlem (0.88), Midtown East (1.33), Other Downtown Areas (1.22). We received 179 replies from Manhattan.

Brooklyn – the average dropped to 3.92, from 4.51 the weekend before. This was still so much better than a year ago, when on December 16, 2018 Brooklyn reported 2.13. Fort Greene/Clinton Hill (6.40), Park Slope (6.20) and Brooklyn Heights (6.00) were above the average. Slow everywhere else, see the details below. We received 37 responses from Brooklyn.

Bronx – the average dropped to 0.92, from 2.05 the weekend prior. We received just 13 replies from the Bronx open houses.

Queens – the average dipped to 2.38, from 3.92 the weekend earlier. Just eight replies submitted from the Queens open houses.

Staten Island – winter hibernation in progress.

Size – 2BRs recorded best attendance among apartments (2.62). 4BRs and 5BRs were the loneliest. See details below. Three multi-unit buildings reported the average of 5.67.

Price – almost identical attendance in $1M-$2M and in $500K-$1M ranges (2.68 and 2.67). The slowest was in $3M+ range (1.07).

First Open House – just 88% premium in traffic last weekend for 1st open house. Interestingly, top three open house by attendance were NOT first open house!

By Appointment Only – 209% more traffic at normal open houses vs. those labeled “by appointment only”.

This is all for today folks. I received interesting comment from Gerard Splendore from Warburg. “Fritz, this is often easier than done, but if the building permits and the other agent will cooperate, coordinating open houses in the same building at the same time or overlapping times can easily double or quadruple attendance. When both apartments are on the same floor, it is virtually inevitable that buyers will view both apartments, especially if they are close in price and size. I have had multiple open houses and price drops for a convertible 2BR for Apt 6E at 155 Henry Street, now asking $729K and the managing agent has been trying to sell a one bedroom sponsor unit for almost 4 months, asking $679K.  Now listed with Compass, I called the agent and asked if we coordinate times. She agreed and we both had a large attendance. My approach to “the competition” after more than 20 years in real estate is “we are all in this together, isn’t it better to cooperate?” Sometimes it works.” Let me know if you agree to this approach or if you are doing it already (with or without the knowledge of your colleague competitor, wink, wink).

For those of you patient enough to read to the end of my report, I included some stats for all of you marketing 1BR and 2BR units in co-ops may find interesting. 


Best of luck at your open houses this coming weekend. Last year, on December 23rd, 2018, the average attendance was 1.84. Will it be better this year? Send me your replies and we will find out!

Fritz

PS: Do not forget to check my reports on my blog at https://halsteadopenhouseindex.blogspot.com/. You can easily view the reports from previous weeks and leave comments. Also, check the link to dataset (the link is above) – many agents leave useful comments in the Comment Column, like full address, price drop or outdoor space. 

Fritz Frigan
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