Million-dollar homes becoming more common in current housing market
A million dollars won't get you what you might expect in this housing market.
Prices for houses on Long Island have gone up since the pandemic began, and as a result, prices with a high price tag look a lot different.
"A lot of people think for a million-dollar home, they want everything brand new, everything updated," says real estate agent Adriane Shamlian.
A five-bedroom, three-bathroom multifamily home in Floral Park is being listed by Shamlian and Peter Caputo at ERA/Caputo Agency for over $1 million.
They both say many properties are hitting that mark now.
"It's not uncommon now to be over $1 million in a house," Caputo says. "The prices of houses have been going up because of the shortage of inventory."
The trend is being seen across the country.
The real estate website Redfin says a record 8.2% of American homes are now worth $1 million or more.
That is nearly twice as many as there were before the pandemic began.
Raqif Clanton is trying to buy a home in the Elmont area, but he says his budget is well under $1 million.
"$500,000, $600,000, I think that's a little too steep," Clanton says. "I'm just going to keep looking."
Experts say getting pre-approved can help people compete against cash buyers.
It's also important to have an open mind and be willing to make compromises.
Prospective homeowners can also be open to buy a fixer upper if they plan on keeping the house for a long time.