A Year in Review
Let's take a look back. Way back. Everybody's recapping 2022, but I'm going all the way back to 1983, my first year in real estate! This year marks my 40th year working in this industry and I couldn't have asked for a better career.
In 1983, the median home price in the U.S. was $80K ($240K today, adjusted for inflation). Compare that to $400K today. (Or to $1.1M+ for Manhattan!). Singer Kenny Rogers’ Beverly Hills home, The Knoll, sold to oil tycoon Marvin Davis for $22.5M ($67M today), shattering the previous record sale price of around $13M. The Knoll sold again in 2005 for $46M. You really can't beat real estate as a long-term investment.
In 1983, the average 30-year fixed mortgage rate was DOWN to 13.24% - after peaking at nearly 19% in 1982. Rates under 5% in recent years are definitely the exception; current rates are closer to the 50-year average of 7.76%. Gary Farro of First Republic Bank noted that the recent predictions of eight leading economists' for 2023 rates range from 4.5% to 9.3%.
In '83, the Dow-Jones ranged from 1,027 to 1,287. What we now think of as major moves of 1,000 points (~3%) were nearly 100% of the market 40 years ago! Rather than trying to "time the market" (in stocks or in real estate), arm yourself with advisors you can trust to help you make the decisions that are right for you in the moment.
I've seen a lot of changes over the past four decades. One thing that has been constant? The strength and resilience of New York City. I am honored and privileged to have been able to work in this city, I look forward to many more years doing what I love. I'll take my inspiration from broker Henry Baker: in 1983, when he sold 565 Fifth Avenue, he was 93 years old and had been in real estate for 72 years! For now, enjoy a quick look back at NYC in 1983:
The population of New York City was 7,071,639
Ed Koch was the Mayor
Vanity Fair relaunched 50 years after merging with Vogue
The Woolworth Building was designated a city landmark
The first Mermaid Parade was held
Diana Ross gave an iconic performance in Central Park
La Cage Aux Folles opened as the first Broadway musical with a gay couple as the romantic leads
14,445 runners averaged 3h49m at The NYC marathon
Colombia University admitted its first female students
The Met Opera celebrated its centennial with an 8-hour show
As we head into my 40th year in the business, I look forward to helping you and your loved ones in any way that I can. Please don't hesitate to reach out.
