New York City real estate brokers reported a significant uptick in confidence in the current real estate market in the first quarter of this year, as well as a positive outlook for the next six months, compared to the fourth quarter of 2012, according to the Real Estate Board of New York's (REBNY) Real Estate Broker Confidence Index.
Demonstrating increasing faith in the economic recovery, the quarterly index recorded a one-point increase in the Overall Present Situation Index since last quarter to 8.87. This jump was primarily attributed by REBNY to the resolution of the fiscal-cliff issue.
The Residential Real Estate Market Overall Confidence Index in the first quarter was 9.02, up from 8.57 in the previous quarter. The Commercial Real Estate Market Overall Confidence Index was 8.79 in the first quarter, up from 7.67 in the previous quarter.
‘Our broker confidence index, the result of a quarterly survey of residential and commercial brokers, emphasizes positive assessments of the current market and the outlook for the future,’ says Steven Spinola, REBNY President. ‘We saw a noticeable dip in confidence levels at the end of 2012, as New York City was put to the test by Hurricane Sandy and as national issues such as the fiscal cliff negatively impacted brokers' views on the market. That hesitancy has clearly subsided in the first quarter of 2013. Broker confidence has substantially improved this quarter, and brokers remain optimistic in the pace of economic recovery.’