Manhattan condo prices continued to rise in the third quarter, while co-op prices dipped slightly, according to a report released today from the Real Estate Board of New York, a real estate trade association.
According to REBNY, median prices for Manhattan condominiums jumped up 22 percent to $814,000 in the third quarter of 2005, compared to a year ago.
There was mixed results for cooperatives as median prices per room for cooperatives set a record for studio/one-bedrooms jumping 24 percent to $173,000 per room, while overall median prices for cooperatives dipped 2 percent to $650,000.
The reports also showed that Northern Manhattan cooperatives had another record-breaking quarter with median price surges of 54 percent for cooperatives to $470,000, and 50 percent for condominiums to $349,000.
“When comparing apartment prices for both co-ops and condos to last year’s prices, median sales prices are up 9 percent and averages are up 11.6 percent. Clearly, condominiums led the quarter in terms of price gains. However, the dip in cooperatives can be slightly misleading as it is likely the result of a softening luxury market not necessarily the market overall; smaller apartments like studios and one-bedrooms still showed gains of 20 percent,” said Steven Spinola, REBNY president.
REBNY’s report was in contrast with other third-quarter Manhattan reports that showed price declines. The average third-quarter sales price fell 12.7 percent from the previous quarter, according to a report from Miller Samuel, a Manhattan appraisal firm. Jonathan Miller, the firm’s president and CEO, says the steep drop-off is due to a 5 percent spike in sales of entry-level apartments, such as studio and one-bedrooms, and a decline in sales at the high-end of the market.
Another third-quarter report showed the average sales price for a Manhattan apartment declined for the first time in 10 consecutive quarters, falling 3.9 percent from the previous quarter to about $1.09 million, according to Mitchell Maxwell & Jackson, a New York appraisal firm.
REBNY’s Spinola said he expects the residential market will continue to be strong in the fourth quarter.
Additional findings in the REBNY report included:
- The median price per square foot for Manhattan condominiums rose 26 percent to $1,012.
- The highest neighborhood median price was Downtown, which climbed to $935,000, an increase of 37 percent.
- The East Side median price per square foot registered the largest percentage increase at 33 percent to $1,013.
- The West Side median price per square foot of $1,051 showed an increase of 21 percent and represented the highest neighborhood price.
- Sales activity for Manhattan cooperative transfers was 21 percent higher than a year ago.
- Median prices per room for cooperatives rose 11 percent to $195,000.
- The West Side median price per room increased 15 percent to $207,000 per room and represented the highest neighborhood price.
- Median prices per room for two-bedroom cooperatives set a new record, rising 9 percent to $232,000 per room.
REBNY compiles its quarterly reports through confidential surveys provided by the city’s major residential brokerage firms.
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