DataMarkets & Economy

Manhattan apartment prices surge in second quarter of 2016

It's all about the resale market in Manhattan despite new construction
  • The median sales price for resale studios in Midtown increased 19 percent.
  • Apartments in Manhattan spent an average of 88 days on the market.
  • Of the 2,115 units sold in Manhattan during the second quarter, 1,600 were resales.

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New construction in New York might be a hot topic in development and investor circles, but the real meat and potatoes for agents and clients is in Manhattan's hot resale market. According to data released from Brown Harris Stevens (BHS), average sale price for apartments in Manhattan has climbed double digits since last year. Although apartments sold in the second quarter actually stayed on the market for more days than last year (88-day average, up 6 percent from 2015), the median price set a record high of $950,000. This is due to the low inventory in the area, the report says, and the high demand for studio and one-bedroom units. "Much of the new inventory coming on the market are more condos positioned for the higher income buyer looking for larger units," said Charles L. Ruoff, licensed associated broker at BHS. "The smaller apartments were not constructed as they did not meet the financial objectives of the developer. The sales market was skewed, and the studio and one-bedr...