Back HomeNew York City Real Estate Remains Popular
This past quarter, New York has seen an overall growth in number of transactions. “According to the latest batch of market reports, Manhattan’s residential market got a major boost in supply in the third quarter […] and New York City saw fewer multifamily deals from July through September” (1). Overall, the transaction volume in New York was high because with inventory increasing, days on the market increases, and prices declining – it is an excellent time for investors to be purchasing. In total, there were over 1,700 transactions worth almost $575 million dollars in the third quarter. It is certainly a buyers market!
“Buyers in Manhattan and Brooklyn increasingly bought more new development units priced between $1 million and $3 million” (1). As price declines are “trickling down” from the luxury market to the below $1M mark, many apartments are experiencing regular price reductions to compete with neighboring listings, which is a great opportunity to take advantage of the market’s current state.
However, Brooklyn is appearing to be a bit of an outlier in the overall market shift, which may or may not be due to delayed closings that had contracts signed one to two years ago. Kyna Doles of The Real Deal Magazine writes that “Brooklyn residential sales prices continue to shatter records. The average price for townhouses in the third quarter exceeded $1 million for the first time, and condo and co-op prices reached a record price of $815,176” (1). Many of the apartments going on sale have incentives and unique amenities that appeal to a buyer willing to pay a higher price. For example, the New York Times shows different homes in Brooklyn neighborhoods that have seen recent market growth. Michelle Higgins writes that “In Boerum Hill, Brooklyn, [there is] a two-bedroom two-bath co-op [for sale] with a mezzanine level, a washer/dryer and walk-in closets in a former factory converted in 1979” (2). The unique history and charm that these apartments offer in relatively affordable price points create value for a buyer, thus raising the overall average and price prospective home buyers expect to pay when looking to invest.
(1) The Real Deal
