How is the Manhattan Real Estate Market Doing?
While the market remains strong, with prices up 4% over the past year and an increase in the number of closings this quarter, bidding wars are not as commonplace. Properties that have sold in the first quarter of 2017 have spent an average of 95 days on the market, the longest in the past 4 years. Sale prices, correspondingly, have also dipped slightly to 97.8% of the asking price.
The average price per square foot for coops in Manhattan in the first quarter of 2017 was $1,263, up 4% from a year ago. The strongest increases in price per square foot have been in the East Village, Gramercy/Kips Bay, Murray Hill, and Hell’s Kitchen. Resale Coop average price changes over the past year were inversely related to their size; whereas the average sale price of a studio, 1, or 2 bedroom increased, the average sale price for a 3+ bedroom declined by 10%.
The average price per square foot for condos in Manhattan in the first quarter of 2017 was $1,724, up 5% from a year ago. The price increases were strongest in the East Village, the Financial District, Midtown East, Tribeca, the Upper East Side, the Upper West Side, the West Village, and Inwood.
The average price per square foot for new developments is up 7% from a year ago, to $2,161, with the strongest market for new development in the first quarter of 2017 focused below 14th St.
The Manhattan townhouse market saw a dip in both volume of sales and price. The average price per square foot dropped 6% to $1,340. The exception for the first quarter of 2017 was the Upper West Side, which showed a 25% increase in average price per square foot to $1,446 and an increase in volume from 10 to 14 sales. While not as high as pre-2016 prices, these statistics are promising for sellers going into the spring market, while the increasing inventory creates leverage for buyers.