Low Inventory Challenges Brooklyn Multifamily Buyers

By Saleem Mubarak

NEW YORK–The New York real estate market is unpredictable, with the next move always up in the air. Understanding its trends can be a tough nut to crack for investors.

To get a better view of what’s going on, Aims Wireless spoke with Malcolm Louis Adams, a Licensed Associate Real Estate Broker specializing in residential properties.

Malcolm, without holding anything back, shared his insights about the challenges, opportunities, and advice for buyers in New York.

Focus on Brooklyn Multifamily Properties

He said that he mainly focuses on Brooklyn, the New York City metro area, Queens, and Manhattan, dealing with residential properties, including townhouses, multifamily buildings, and co-ops.

Shedding light on the current market, Malcolm explained that the biggest challenge right now is low inventory, which is really putting the squeeze on both buyers and sellers.

“Due to low inventory, lenders are slow and sluggish,” he explained. “It is taking too long to convert deals.” He emphasized that patience is key in this situation.

Market Struggles with Interest Rates and Tariffs

“I keep trying to line up new listings and match buyers with sellers. I also try to create opportunities. Sometimes people don’t realize they want to sell until someone makes a good offer on their home. Then they may decide to sell. You have to create the opportunity.”

When asked about other factors affecting the market, like interest rates and economic changes, Malcolm said, “Absolutely. Interest rates are still very high. Also, tariffs are creating chaos in the market, driving up supply costs and making it more expensive to buy and sell. Right now, everyone is on shaky ground in the market.”

Brooklyn Outlook for the Coming Year

Asked about any expected improvements, Malcolm said, “What’s happening now will likely continue until the end of the year. But I’m keeping my fingers crossed for next year. I hope we can pull it all together then.”

He said that these days, his buyers are mostly looking for multifamily townhouses, which are the hardest to find. If you can get a brownstone, a two-family, or a three-family house, that’s what everyone wants. Co-ops are good too if you can’t afford a townhouse, especially in hot areas like Williamsburg and Bushwick.

Regarding changes in the New York real estate market over the past five years, Malcolm said, “The biggest change is that there is very little middle-class inventory. Homes are either super cheap or very high-end. We need more middle-class homes. That is the biggest frustration across all markets,” he claimed.

Advice for First-Time Buyers

Malcolm recommended that first-time buyers should try to buy a multifamily property. A two-family home is better than a condo or a single-family home because it gives you more security. 

Single-family homes don’t provide any additional income. It might be tough, but if you can, get a two-family home.

Talking about up-and-coming neighborhoods, Malcolm shared his favorites, saying, “I focus on Brooklyn, especially Bushwick, Crown Heights, and Flatbush. I also like Brownsville.

Investors can find good opportunities there because you can get multifamily homes for under a million dollars. Some homes have driveways, and transportation is nearby.

“You can get a good price and good return. For example, I’m selling a property for $790,000, and in five years it could be worth $1.5 million. That’s a lot of potential,” he remarked.