Record-Low Inventory Keeps LI Home Prices Near Pandemic Highs

LONG ISLAND, NY — Those waiting for home prices to go back down to pre-pandemic levels before buying a house are going to have to keep waiting. New data from OneKey Multiple Listing Service shows that prices in both Nassau and Suffolk continue to hover near the record highs that were set during the pandemic, spurred by incredibly low inventory.

According to the latest sales data from OneKey, the median home price in February in Nassau County was $650,000, the same as the month prior. In Suffolk, the month-to-month price rose by $7,000 to $527,000.

Despite the ups and downs, home prices are still much higher than they were this time last year. Year-to-year sales prices are up 8.5 percent in Nassau and 10.9 percent in Suffolk.

Part of the reason for the high prices is low inventory. The number of sales were down both month-to-month and year-over-year. There were 945 homes sold in Nassau in February, and 1,181 in Suffolk — both a significant drop from January. That's a huge year-over-year decrease in both counties: 15.1 percent in Nassau and 17.7 percent in Suffolk.

Real estate is one of the few areas that hasn't been suffering since the pandemic lockdowns ended in the spring of 2020. It set off a flurry of buying across the Island. And with limited inventory, prices soared. And though prices are beginning to dip, it is still a great seller's market.

Median sales prices hit record highs in both Nassau and Suffolk counties last year. Prices rose to $670,000 in Nassau and $530,000 in Suffolk. Though they have started to come down from that peak that was hit last summer, home prices are still not near pre-pandemic levels.