Suffolk home prices drop, Nassau's climb

Driven by foreclosures, the median home closing price in Suffolk fell under $300,000 last month for the first time since 2003; meanwhile, prices show Nassau may be on the road to recovery, a new report said.

According to figures from the Multiple Listing Service of Long Island, Suffolk's $290,750 median closing price in April was an 8.6 percent drop from $318,000 a year earlier, the report said. Except for June, Suffolk closing prices dropped year-over-year for the past 12 months, data show.

The last time Suffolk's median fell under $300,000 was May 2003, when it was $280,000, MLS data show.

For Nassau, the median closing price was $406,250, 2.8 percent up from $395,000 a year ago, the report said. The county has shown year-over-year jumps for seven out of the past 12 months, figures show.

The median closing price for Long Island and Queens together was $348,500, a 0.4 percent dip that would have been a deeper drop if it hadn't been for Queens' 7.7 percent increase, according to MLSLI figures.

Liz English, president of the Long Island Board of Realtors, said the April data indicate Nassau and Queens might be recovering from the housing crisis, while Suffolk's fate is unclear.

"Suffolk is still in distress," she said. "There are distressed sales that are bringing down the better numbers."

When foreclosures sell at discounts, that often leads to lower appraisals of nearby homes for sale -- a cycle that can feed on itself, federal housing officials and local industry veterans have said.

Nassau's market is more competitive due to its proximity to New York City, agents said.

"Anything that is closer to the city is always a little higher," said Dianne Scalza, president of the Women's Council of Realtors' Long Island chapter.

But contrary to the usual trend for the house-hunting season, Long Island and Queens closings fell 11 percent from March to April and contracts fell 2 percent, the report said.

To real estate agent Tom Malanga, it's proof of an uncertain market.

That's why he organized a Sunday open house of 21 town homes at the 487-unit Park Row community in Central Islip. Each listing's agent will be there, and each home toured from noon to 3 p.m. will score the house hunter a chance at a $100 dinner certificate.

Malanga, a resident there and associate broker at Century 21 North End Realty in St. James, hopes this will draw buyers from their computer searches and into potential homes: "We need to make it easier for buyers to come and experience," he said