Kirsten Jordan, real estate broker and star of 'Million Dollar Listing New York,' joins Cheddar News to talk about the state of New York City real estate, tips for homebuyers, and season 9 of the Bravo show. 

Between Bells

Kirsten Jordan on Housing Predictions and 'Million Dollar Listing New York'

Welcome back to Between Bells. The Federal Reserve is expected to raise interest rates a few times in 2022 which means mortgage rates will likely rise now, according to realtor dot com, a 30 year fixed mortgage rate will reach 3.60% by the end of 2022. That's compared to an average of 3.30%. Now. Now though, this year may continue to be a seller's market. Homebuyers can still make the most of their experience and land their dream home joining us. Now to discuss is Kirsten, Jordan, real estate broker, founder at Douglas element and star of bravo's million dollar listing to new york. Kirsten, welcome to the show. Let's dive in here are rising interest rates, particularly bad for all those buyers out there. Well, thank you so much for having me. This is a question we are hearing about every single day. Everybody wants to know what's happening with interest rates. What are you going to see in the markets? And I can tell you that we are seeing such low inventory that the bigger issue right now is that everybody wants to try to find something lock in over the next quarter and there's not that much to see. And and so what I'm seeing with buyers is that they are chasing properties and what they need to do is they need to find places where they're going to be able to add value. So lock in at the great interest rate and then add values that there's a better chance of appreciation over the time, over time or the ability to stay there as long as possible so they can ride out whatever is coming next. What are potential buyers up against right now Kirsten? And do you think the competition will eventually slow down right now? We are looking at many years ahead of us in new york city of very little inventory. And I do think that in the rest of the country, what's amazing is that they can build houses faster than we can in new york city in Manhattan and the outer boroughs that we have here. And so what we are seeing here is people don't know when there's going to be new product. So we're fighting over existing product where there is bidding wars on anything that's turnkey. And so that's what we're seeing for new buyers. Also, the other thing that new buyers are up against is that as prices rise, they're competing against more established People who in their jobs who have the assets to be able to maybe make the cash offer to be able to come up with terms that are a little bit more attractive to maybe be able to hold two assets at the same time. And in those cases, I am rising, my buyers to change their terms to come up with creative ways so they can stay in the market and they can make it attractive bid even when it's a multiple bidding situation? Housing inventory hit an all time low in December. Do you think we'll see that continue this year in 2022? I think that sellers are starting to think about coming to market when they weren't before, because now there's this narrative about the market going up and now there may be thinking, okay, finally, I'm going to make that move and so I do think we're gonna see some inventory. I think that the prices are going to be strong because those sellers don't know where they're going to go next. And so I I do think it's going to be a tight inventory 2022, and if you are a seller, you are going to be a little bit more aggressive about pricing and that could also make your home sit a little bit longer on the market because right now we're in a price sensitive market where if you don't come out at the right price to get those competitive bids, situations going on, you can find yourself sitting a little bit longer and then you need to reduce the price. Millennials are at peak. First time home buying age, do you think the younger buyers are at a disadvantage currently Kirsten I think that younger buyers are not at a disadvantage from the perspective of their position, they are gonna be able to hold these assets longer, they can buy something that they know they can grow into from the perspective of them being able to afford and compete with other buyers who are more established in their jobs. I think that's where they're having a tough time and so I'm seeing those buyers go to more peripheral neighborhoods. They're going deeper into Brooklyn. I just listed a great asset in queens. I'm seeing younger buyers come to that. We're seeing people go to other neighborhoods that they weren't going before because they know that they're going to go into that what are some must haves that realtors should know in order to seal the deal. I love this question because I think it just seems like, oh, just get in there, give them their price. But the truth is, a lot of it has to do with terms, it has to do with having a plan and it has to know when to pivot. You have to know when you're really truly over paying and you need to know when to say really to say no and to walk away. So I would say make sure, you know those comps, make sure you know the story around those comps, make sure you have a plan and make sure, you know, when It's just too high and there's no way you're gonna get your client out or feel comfortable with them paying that price. So our viewers will kill me if I don't ask you this question after 11 years Frederic announcing he's leaving million dollar listing franchise. Your reaction here Kirsten. Well, I'm really sad to see him go because he is truly an inspiration. I loved filming with him. He is so fun. He also is an inspiration to all of us because of the fact that he's a master of manifestation. I always say this and I hope at some point this becomes a catchphrase for him, but he's clearly going to be you know, really, really successful in the future. He already is and I'm just happy to be at the same firm as him and that I had the experience to work with him. So much so million dollar listing new york has been a boys club up until you join. Did you have any expectations when you agreed to join? Where you're a little hesitant? I had not that many expectations because I was just so excited about the opportunity and I didn't really think about it as being the first woman. It was just an exciting idea for me to do after being in the business for so long to be able to be part of something like this that's more creative, that's outside the box. I was gonna test out skills that I've never used. I'm not a tv, I wasn't a T. V. Personality before. I wasn't a theater major. I Just have been a real estate broker for a long time. I've got three kids. I had a thriving career and I still do so I had very little expectations for it being about me being a woman. But I will say that I'm sure that me being a woman did bring something different to the show and I think that viewers agree with that and I hope that you know that would be the same for the next season. Viewers do agree with that. I have 30 seconds. What are your predictions for New York real estate? I think we're gonna see buyers pushing into other boroughs, buyers pushing into neighborhoods and markets that they haven't been considering before. And I think that we're going to see the resale market that was having a little bit harder time. The co op market that needs renovation to start to really get tight as well. And I can't wait to see what happens next as we don't have much new development inventory product to work with Kirsten Jordan, real estate broker, founder at Douglas element and Star bravo's million dollar listing new york. Such a pleasure Kirsten, thank you so much for your time.