Malverne, West Hempstead real estate prices inch upward

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A recent article in The New York Times reported that 2014 was a banner year for Manhattan real estate, thanks to the sale of ultra-luxury apartments. Are Malverne and West Hempstead following the same trend? Not quite, but activity in both communities is trending upward, according to industry data, with more homes being sold and their prices steadily rising.

According to information provided by Kathleen Evangelista and Elisa Rosen of Douglas Elliman Real Estate in West Hempstead, a total of 79 Multiple Listing Service homes were sold in Malverne in 2014, for an average price of $395,000. Twenty-two of them were sold in the last quarter of the year, for an average price of $408,000 — 9 percent less than in 2008, when the average price was $450,000.

Zillow, the real estate website, states that the Malverne real estate market grew 4.1 percent last year, and is expected to grow another 1.3 percent in 2015. The site also reports that the median price of a home in Malverne is $409,000.

In 2014 in West Hempstead, a total of 168 listed homes were sold, at an average price of $377,000 — more homes, but at a lower average price, than in 2008, when 119 were sold, but the average price was $401,000. Zillow currently puts the median price of a home in West Hempstead at $399,400, which differs from Douglas Elliman’s median price of $375,000.

Evangelista said that 2014 was a strong market for both West Hempstead and Malverne. “The number of transactions were strong and the prices were up from the year before,” she said, adding that she expected this year to be strong as well. “There’s a shortage of inventory, and the interest rates are still hovering around 4.25 percent for a 30-year fixed loan. The mortgage industry is anticipating changes that will allow buyers with low down payments to qualify for conventional loans, which should boost the first-time homebuyer’s market.”

According to Zillow, there was an 8.1 percent increase in the sale price of homes in West Hempstead over the past year, and it predicts that prices will rise another 2.6 percent this year.

The federal government reinforced its encouragement of home ownership last month, when U.S. mortgage firms Fannie Mae and Freddie Mac launched programs to allow down payments as low as 3 percent of a property’s value. A White House press release stated that the reduction was part of the President Obama’s efforts “to expand responsible lending to creditworthy borrowers.