The pandemic-era housing boom is still roaring in this pocket of upstate New York

An unprepared house hunter might believe they’ve stepped back in time to the height of the mid-pandemic housing boom in New York’s Columbia County, a pocket of the Hudson Valley that continues to attract affluent bulk buyers.

Demand for country houses and rural properties has fallen since the pandemic – when many city dwellers fled to the hills in search of space and safety – and a return to in-person work has cooled demand for remote homes.

But in New York’s Hudson Valley — especially in Columbia County, its northern edge — the market hasn’t softened at all. In fact, agents say they are seeing bidding wars and competitive sales reminiscent of the most desperate days of pandemic buying.

“People who want privacy and land but are priced out of the Hamptons are coming here,” said Diana Polack, an agent with the Upstate Curious team at Compass. “We’re seeing more consistent, higher-end, cash buyers and this year will be the best we’ve had financially in the last four years – even better than [during] Covid.”

At the same time, the pool of buyers is expanding, said Jeffries Blackerby, an agent with the This Old Hudson Team at Houlihan Lawrence.

“We’re seeing more people from Boston and all over New England who would have focused on the Berkshires, in part because of the lack of inventory across the region,” he said. “But buyers have also come from D.C. and the Midwest, along with buyers from California concerned about climate risks there.”

The consistently hot market means it’s an opportune time to sell, especially for anyone who’s caught the renovation bug in the past four years, as agents say buyers are looking for homes with modern finishes.

The District of Columbia includes 38 cities in 635 square miles. According to Realtor.com, the median listing price is $635,000, up 6% year over year. But prices in the county run as high as $22 million, and some listings top $10 million. The county seat is about 120 miles north of New York City.

“There’s a lot more money coming into the Hudson Valley and the ceiling has been raised on what luxury is,” said Raj Kumar, an agent with Lillie K.’s team at Four Seasons Sotheby’s International Realty in Hudson. “A house that would have cost $500,000 before the pandemic is now going for about $1.5 million. And we’ve said up until now that $3 million is the new million” when it comes to home prices.

Buyers from the UK and France are also discovering the region.

“Western European buyers understand the lifestyle at home and they’ve moved here like Americans shop in Chianti. [in Italy]Kumar said.

Still, “buyers are exercising their right to be a little more discerning,” he said. “During Covid, people bought things that were overpriced. The only buyer’s remorse we’ve seen here is from people who, in their madness, ended up buying bad properties. You can pay, but the product has to be great.”

For sellers, presenting a turnkey property is the most important aspect to maximize appeal to the widest range of buyers, Kumar said.

“We will have towels in the bathroom and milk in the fridge. This is the level of service and luxury people are looking for,” he said. “If you come from California or France, you don’t want to manage any part of a new home project.”

Although furnishings and small updates here and there can go a long way, Kumar cautioned against “bastardizing” a home with inauthentic or inappropriate upgrades in an effort to attract wealthy buyers.

Authenticity has also been “so important to buyers,” Kumar said. “It’s not all about sex based on what influencers tell you.”

Even an older bathroom can attract people if it fits the home, he added. “People want to live [ready]luxurious and comfortable, but also authentic to the property. Messing with a 1700s farmhouse can make it feel too ‘done’.”

The most effective investment for a seller looking to maximize a home’s value would be central air conditioning, which many homes in the region still lack, said Blackerby, of Houlihan Lawrence. “Nobody needed it decades ago, and most old farmhouses or 1970s homes don’t have it. But now it is a necessity,” he said.

Meanwhile, the wave of demand has spread to the upper Columbia County border, he said. “This is a story about pushing north, with some really beautiful, magnificent areas like North Chatham and Malden Bridge that are stunning and offer really good value,” he said.

Established areas such as Hudson, Austerlitz and Hillsdale are also particularly sought after. “Hillsdale has beautiful streets with some modern newly built homes and great renos, with views of the Catskills,” he said.

The median price in Hudson, for example, was $745,000 in August, an increase of more than 80% from $405,000 a year earlier.

Chatham, Hillsdale and Germantown adjacent to Columbia are attractive to buyers right now, according to Nancy Felcetto of Brown Harris Stevens, although the upper end of the market “has grown and grown without stopping.”

“When I came here 20 years ago, people didn’t know where Columbia County was. Now, the area has been discovered and it’s been very competitive,” she said.

Prices continue to rise, with $3 million and $4 million listings popping up in and around Hudson, Felcetto said.

Across the county, “the $2 million to $4 million price tag is busier than it’s ever been. It’s hard to find anything under a million,” she said. “Anything along the river will command a high price if done well. Houses in hand with clean lines are doing very well. People want historic houses, because they don’t make them anymore. But it is difficult to find contractors to carry out any work as they are all booked up.”

Felcetto would advise a seller to invest in fixtures to maximize a home’s value. “People come here to have fun,” she said. “You need six to eight lighters, at least, and a sex tile.”

On the Upstate Curious team at Compass, Polack and her co-workers “have an Architectural Digest photographer on staff,” she said. Sellers should “make sure the house is ultra clean. Make sure everything is ready from an inspection perspective.”

As for styles, “the modern farmhouse thing has been watered down with so many flips that do the Home Depot version of that renovation,” she said. “A warmer approach is perhaps more desirable. But one thing is common: standards here have risen dramatically.”