N E W YO R K
I T Y M A R K E T R E P O R T
Q 2 2 0 2 4
N E W YO R K C I T Y
The Manhattan real estate market displayed notable signs of recovery during the second quarter of 2024, departing from the multi-quarter downtrend experienced over the past year. While overall prices remain lower than last year, this nascent recovery suggests a possible bottoming process as the market stabilizes. The second quarter saw the overall median sale price rise to $1,200,000, a 13.4% increase from the previous quarter but a -0.8% decrease year-over-year. The average sales price also showed strong growth, reaching $2,086,475, up 9.7% from last quarter but down 4.1% from last year. The median price per square foot increased to $1,397, representing a 6.9% quarterly rise but a 3.4% year-over-year decline. Although still below last year's figures, the quarterly increases are impressive against the backdrop of rising seasonal supply and unimpressive deal volume.
In addition to rising prices, properties are selling faster than before, with the average days on the market dropping to 65. This represents a 43% decrease from the previous quarter and a 3% decrease compared to last year. While the quarterly reduction in days on the market is likely due to seasonality, the year-over-year improvement speaks to a firming bid. Sellers are capturing slightly more of their asking prices, with the sales-to-list ratio rising to 95.1%, a 0.7% increase from the previous quarter and a 0.2% increase from last year, further supporting the notion of a recovering market.
A breakdown of the resale market into condo and coop shows median prices increasing both quarterly and yearly. Resale condos saw their median price rise 12.2% and 6.9% over the quarter and year, respectively, while resale coops saw a more muted 5.9% and 2.2% rise over the same periods.
Overall, the second quarter of 2024 shows promising, albeit early, signs of recovery for the Manhattan real estate market, hinting that it may have found its footing after a prolonged downcycle. However, ongoing economic and political uncertainties, in combination with seasonal trends, will likely exert an outsized influence on market dynamics in the coming months
Steven James, President and Chief Executive Officer
Prepared
by:
Steven James, President and Chief Executive Officer,
MANHATTAN SUPPLY VS PENDING SALES
2,619
MARKET PULSE
The Market Pulse, a seasonally adjusted ratio of demand to supply, measures market leverage and sentiment changes A rising Pulse indicates a strengthening market, while a falling Pulse indicates a weakening market
The current reading of -0 9 is an improvement of 0 2 from the previous quarter and continues to represent a neutral market The choppy, range bound motion hints at a churning market looking for direction in the wake of historically steep interest rate hikes Overall, the Pulse’s lack of deterioration into what is traditionally a slower period points at a firming bid under the market versus late last year Buyers may find the market more resilient than expected
NEW LISTINGS
4,978 New listings in Q2 +2 2% YoY +15 0% Qtr
CONTRACTS SIGNED
2,883 New Contracts in Q2 -3 0% YoY +11 0% Qtr
MARKETWIDE
RESALE CONDOS
RESALE CO-OPS
MARKET PULSE: CO-OP vs CONDO
Breaking down the Market Pulse, the two main property types show that while coops ticked down a notch, they continue to remain reasonably balanced at -2 56 Meanwhile, condos appear to have broken out of their recent range, ticking up to -0 67, an increase of 0 7 and 0 5 from last quarter and last year, respectively
Taken together, both measures continue to suggest improving market conditions, albeit at a sluggish pace. With slower seasonal months ahead, the relationship between supply and demand will be key.
CONDO -0 667
+1 7 year to date
+0 7 from last quarter
+0.5 from last year
COOP -2 567
-1 7 year to date
-0 6 from last quarter
+0.4 from last year
MEDIAN SALES PRICE
Calculated by taking the middle value of the subset that includes all relevant sales prices.
MEDIAN SALES PRICE PER SFT
Only calculated when size is available, this is the middle value of the subset that includes all relevant price per sft sales data
AVERAGE SALES PRICE
Calculated by adding all final sales prices and dividing the sum by the total number of properties
DAYS ON MARKET
Calculated for sales that have listing information entered by the agent; more specifically, the contract date. This metric counts the number of days from first listing to contract signing. This report uses the median value of the subset that includes all relevant data.
SEASONAL AVERAGE
Average of all previous values for the same point in time. Only goes back one extra year to what is visible in the chart
DISCOUNT FROM ORIGINAL ASK
The median percentage difference between the original asking price and the closed sales price
DISCOUNT FROM LAST ASK
The median percentage difference between the asking price at the time of signing and the closed sales price
MARKET PULSE
A ratio of pending sales to active inventory, rises when leverage is shifting to sellers. Falls when leverage is shifting to buyers.
This report was produced and authored by Berkshire Hathaway HomeServices New York Properties in partnership with UrbanDigs For questions please contact the Berkshire Hathaway HomeServices New York Properties Marketing Department at Contact@bhhsnyp.com or (212) 710-1900.
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