Local News: May 8, 2024

Housing Market in Tompkins Remains Tight

The housing market in Tompkins County continues to shrink. According to the Tompkins Weekly, housing stock is down 14% from last year’s already historic low. Brent Katzmann of the Ithaca Board of Realtors called the decline “disconcerting.” In addition to an overall decline in available houses for sale, he said there is a particular need for “workforce housing.” He defined that as a “missing middle” or homes in the $130,000 to $350,000 range. He added that there are 40% fewer houses in that range today than in 2021. While there are several factors affecting the local housing market, Katzmann identified greater density and in-fill housing as ways to address the issue. According to Katzmann, only 172 homes in Tompkins County have been listed so far in 2024.

Hight Interest Rates Delaying Approved Development

Higher interest rates are delaying planned local development—further compounding Ithaca’s housing shortage. According to the Ithaca Voice, several projects have been approved for building but are stalled due to the high cost of financing. 

The 350-unit Gateway project, and the 77-unit Breeze project are both stalled due to high interest rates according to developers. Developers of other local projects on hold have pointed to construction delays and lower than expected tax abatement offers.