Low inventory coupled with an increase in home and condo sales volume typically bodes well for a market’s median price, with records often set.
This holds true for Manhattan, which saw its median price rise to $995,000 to $1.04 million during the third quarter of 2015 (Q3) — depending on which report you look at.
According to data from Compass, the median price for a Manhattan property topped $1 million for the first time in any quarter. Additionally, the price per square foot for a property set a 26-year record at $1,497.
Two submarkets — Downtown and the Upper West Side — both reached record prices during Q3 at $1.4 million and $1.2 million, respectively.
Looking at specific property types, a Brown Harris Stevens residential report found that the median price for a resale apartment was $910,00.
A separate report from Douglas Elliman Real Estate states that the median price for a co-op apartment increased by 5.1 percent year-over-year to $775,000. The condo market saw prices spike by 15.5 percent, hitting a record of $1.5M.
According to Hall Willkie, president of Brown Harris Stevens, all sizes of resale co-ops and condos — with the exception of three-bedroom and larger properties — experienced price increases during Q3. Larger apartments saw a decline in price as many of these homes are overpriced.
The new development market, which includes co-ops and condos, saw price per square foot rise 16.8 percent year-over-year to $2,111 — once again, another record. The market share of new development closings was 12.6 percent, according to Douglas Elliman.
Overall, New York saw volume increase nearly 10 percent year-over year, with 51 percent of sales being cash purchases, a year-to-year rise of 8 percent. Additionally, nearly 54 percent of all sales closed “at or above” list price — a seven-year record, according to Douglas Elliman.
Entering Q4, average time on the market in Manhattan is 69 days to 73 days, which is historically low.
Properties trading quicker than ever has played a part in depleting the borough’s available inventory to 6,366 properties — a 10-year low.
