Since 1981, Corcoran has tracked sales and market activity in Manhattan in this first-of-its-kind report. Our reports and statistics are highly regarded sources of real estate intelligence, trusted by reporters and industry insiders alike.
We are delighted to share with you Corcoran’s Q2 Manhattan Report. Clicking on the link you will find a detailed analysis of residential real estate sales that closed in Manhattan in Q2 2017 (April 1st through June 30th).
Key findings of the Second Quarter Report:
- A spring season bump. Closings rose 2% versus the same quarter a year prior and were up 31% over Q1 2017. Signed contracts were down year-over-year (by 8%), but enjoyed a seasonal increase of 13% from Q1. The median price in Manhattan rose to a record-high $1.19M (up 8%), and the price per square foot reached $1,392 (up 4%).
- Market gains on strength of re-sale co-ops. Re-sale co-ops did a brisk business (up 8% in closings year-over-year), leading more co-op owners to list their properties (inventory +2%, months of supply +9%). The relative affordability of co-ops made them attractive and their value increased by 3% per square foot.
- Activity in resale condos slows. The number of sales in re-sale condos fell 8% over last year, despite their greater availability. The median sale price and price per square foot were both driven higher (by 18% and 5% respectively), but this was because of the lack of available properties under $1M.
- Luxury new developments close in large numbers. Several high-end buildings had significant closings this quarter, including 56 Leonard, 30 Park Place, and 432 Park Avenue. As a result, median sale prices for new developments climbed 11% and were up 5% in price per square foot.
- Some mixed signals. Overall the Q2 market did well, but there are signs of change in the air.
- It’s taking longer to sell. The months of available supply is creeping upward as new inventory gradually outpaces absorption.
- Developers and analysts think so too. Slower sales in the new development sector for the last three-quarters has convinced some developers to postpone launches of forthcoming buildings.
- Prices may be overheated. Aggressive pricing and short supply among entry-level apartments continue to challenge first-time buyers, and in March the Federal Reserve raised interest rates.
- Foreign buyers hold back. Corcoran agents reported fewer deals with overseas clients.
There is plenty of valuable information in this quarterly update and it dovetails nicely with the information we have been featuring on this website and in our monthly newsletters. If you want to discuss further or receive clarification on a neighborhood, please feel free to reach out to Brian Meier or Doug MacFaddin.