Multifamily Sales rise steadily in $$$ and ### in Q1 - Business as usual - Contingencies and all.
You've heard it everywhere: we put in an offer but we lost to another bidder. Higher, No contingencies. Not to worry - None of this is resonating with today's investor. Investors are still being very cautious, rightfully so, with fully equipped offers containing contingencies for mortgages, appraisals, inspections, and due diligence periods.
Maybe its the higher price tag (avg sales price over 750k) or because they're more business-minded with these transactions (even at the small multifamily level), but buyers of multifamily properties (2-5+ units) aren't willing to lose out on a downpayment or be duped for a lackadaisical due diligence period.
As an active member of the Bigger Pockets forums, I hear from investors all over the tri-state area and all are continuing business as usual. The prices may be higher but the process is still the same.
As far as the numbers go: The number of sales rose significantly when compared to 2020 & 2019 and March almost saw those record numbers from 2018 but don't let that fool you, the sales prices stayed cautious dropping to 96% asking price by April (see chart below).
This is not to say that properties aren't going for top-dollar. Compared to prior years, properties in this range are continually rising (and so are rents!). The cap rate in Westchester is steadily hanging around 6% for residential units according to https://apartmentpropertyvaluation.com/cap-rate/county
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