SYRACUSE, N.Y. (NCC News) — Central New York’s housing market is already feeling the strain of limited inventory as local leaders prepare for future growth tied to Micron’s planned semiconductor campus in Clay.
Patrick O’Connor, broker-owner of CNY Homes, said there are currently more buyers looking for homes than there are houses available.
“Right now we’re seeing just sort of a general lack of inventory,” O’Connor said. “There’s more folks looking for homes in our area than we have homes available for them.”
O’Connor said the shortage has created a competitive market for buyers, particularly those searching for starter homes. Multiple-offer situations have become common, with some homes selling well above their asking price.
He said the region is now trying to catch up after years of limited housing development.
“The problem we have now is we really sort of have underdeveloped our properties for the last 10 to 15 years,” O’Connor said.
Local planners say that challenge is one reason housing construction has become a major focus throughout Central New York.
“As a region we are doing something that few places actually did facing this kind of pressure which was doing all that work before we started to see the substantial job growth,” said Jared Shepard, the director of planning and research at CenterState CEO.
According to Shepard, the CenterState CEO’s housing development dashboard has more than 100 residential projects representing over 14,000 housing units that are currently proposed, under review, under construction or completed throughout the region.
“So if you look at our broadest picture of residential construction, things that are in proposal, that are being reviewed by a public board, that are in construction or complete, the total of that right now is 100 projects, with over 14,000 units of housing,” Shepard said.
Shepard said the projects represent roughly $5.5 billion in housing investment across the region.
In the long term, Shepard said supporting the housing market now will create opportunities for people looking to move to the area and build careers in Central New York.
VIDEO TRANSCRIPT: Housing shortage remains challenge as Central New York prepares for Micron growth
Rece Allen: Central New York is on the verge of a massive population boom. But what the major question is, can the housing keep up?
Tommy Armstrong: Warmer weather means building is in full swing. NCC News reporter Miguel Freire is on a construction site with the story.
Miguel Freire: Thanks guys. Behind me is the former Syracuse Developmental Center, where hundreds of new housing units are being under construction as we speak. Not just here but across Central New York. As Micron is prepares to enter the region and bring in a large influx of people, local leaders say projects like this will play an important role in helping grow the future. Central New York is preparing for growth. As Micron moves forward with plans for its semiconductor campus in Clay, local leaders are working to ensure the region has enough housing to support future workers and their families. One project already underway is the redevelopment of the former Syracuse Developmental Center site, where hundreds of apartments and townhomes are expected to be built over the next several years.
Jared Shepard: As a region we are doing something that few places actually did facing this kind of pressure, which was doing all that work before we started to see the substantial job growth.
Freire: Jared Shephard, Director of Research and Planning at CenterState CEO, says Central New York is taking steps now to prepare before the largest wave of economic growth arrives. But some housing experts say the market is already showing signs of strain.
Patrick O’Connor: Right now we’re seeing just sort of a general lack of inventory. There’s more folks looking for homes in our area than we have homes available for them.
Freire: Patrick O’Connor, broker-owner of CNY Homes, says the shortage has made it increasingly difficult for buyers to find available properties throughout Onondaga County. Planning leaders say addressing that gap will require a significant increase in housing construction across the region in the years ahead.
Shepard: All that really turns into about 3,000 housing units a year and that’s maybe roughly a construction cost of about a billion dollars. So we’ve got to build a billion-dollar house every year.
Freire: And while construction is still underway here, local leaders say that developments like this are needed to keep up with future demand in the housing market. Reprting from Syracuse, Miguel Freire NCC News.
Allen: Thank you Miguel.