The Market: Wall St. Weighs On New York

With Wall Street and the banking industry getting hit hard since last fall, even the normally recession-resistant New York market is feeling pain during this downturn.

The S&P/Case Shiller index shows an accelerating decline in New York prices. The index uses same-home sales to illustrate price changes, with 100 equaling January 2000 prices

“We are feeling it firsthand in the areas that we service,” Ferro says of his East Meadow, N.Y., company.

Still, Ferro thinks that a recovery in the New York market is not far away. Alure has seen slight increases in business in March and April after bottoming out in December and January.

“It’s not going to be an incredible overnight rebound,” Ferro says. “I feel comfortable that we’ve hit bottom and we can see the light at the end of the tunnel.”

Ferro says that’s because homeowners who can’t sell their homes are looking to make the improvements that make their homes more useful and enjoyable for them, rather than remodeling with resale in mind as many had in the past.