Sheds Light on Second Quarter Market Conditions and Trends
Manhattan condo prices reported the largest change during the second quarter, with the average price decreasing 7.87% to $2,724,532
TOWN Residential, New York’s leading luxury real estate services firm, has released The Aggregate - the firm’s quarterly residential market report. During the second quarter, luxury new development sales began to slow from the furious pace seen in the first quarter, when those sales helped push Manhattan average prices to record highs.
While still closing at a brisk pace, the slowdown pressured inventory levels and days on market to the upside, resulting in a 2.58% reduction in average sales price during the second quarter to $2,132,446, and a nearly flat median sales price market wide. The time it took to sell an apartment registered in at 60 days, up 5% from the prior quarter and up 18% from the prior year.
Looking at the asset classes individually, Manhattan condo prices saw the largest change during the second quarter, with the average price decreasing 7.87% to $2,724,532 and the median price decreasing 17.68% to $1,525,000. Median price per square foot followed suit with a 5.27% reduction over the previous quarter from $1,654 to $1,571.
The more stable co-op market showed little movement during the quarter, with the average price rising just 0.29% to $1,263,070, and the median price rising 1.94% to $775,000. Median price per square foot registered a 6.65% increase quarter-over-quarter rising from $960 to $1,028.
“We continue to see a very price-point specific marketplace with disparity in the pace of demand within the various sectors. Properties priced under $3 million are met with a continued flurry of activity and the pace of the luxury market is beginning to normalize with a noticeable uptick in momentum,” said Andrew Heiberger, founder and CEO of TOWN Residential. “That being said, within the first half of the year, TOWN successfully transacted more than 40 properties over $5 million, with more than 10 of those transactions exceeding $10 million. Just yesterday, we signed a contract for the Penthouse at 204 Forsyth, a boutique condominium where we are the exclusive sales and marketing agent, for approximately $3,000 per square foot. There is a definite flight to quality.”
Examining the individual neighborhoods, The Aggregate revealed a mixture of increasing and decreasing price trends during the first quarter.
The Aggregate is a comprehensive study of residential sale transactions across distinct asset classes from April to June 2016. The report compares those transaction values with quarter-over and year-over values, while providing invaluable insight into current trends and market conditions. Data is drawn from the rolling sales data of the Manhattan market along with the live ACRIS feed provided by the New York City Department of Finance.
Founded in 2010, TOWN Residential has cemented its position as New York’s foremost luxury real estate services firm with an exhilarating foundation and seamless execution of best-in-class customer service by an unparalleled team of more than 550 Representatives and professionals strategically located in seven prime offices. TOWN Residential specializes in luxury residential sales; leasing; the marketing, sales and leasing of property developments; commercial and retail.
