« Back to Previous Page | Real Estate»News»Douglas Elliman Releases 2Q 2017 Manhattan Sales Market Report

Corporate Information

Douglas Elliman Releases 2Q 2017 Manhattan Sales Market Report

Date: Jul 06, 2017

New York, NY (July 6, 2017) –DouglasElliman Real Estate,the largest brokerage in the New York Metropolitan area and the fourth largestresidential real estate company nationwide, today releases the second quarter 2017 Manhattan MarketReport for sales inManhattan.  The report, which nowincludes Northern Manhattan, reveals strong sales activity along with risingprices, bidding wars and more negotiability at the high end of the market. Northern Manhattan continues to show briskconditions as buyers seek out affordability.

“What is clear that the Manhattanreal estate market remains surprisingly robust, especially on the re-saleside,” said Steven James, CEO of New York City, Douglas Elliman.  Prices have moved higher, including two newrecords set and there has been a sharp rise in sales, as inventory hasslipped.”

Re-sales have been strong, asinventory in that market declined for the first time in three years.  New development inventory, however, edgedhigher, as aspirationally priced listings were allowed to expire and listingdiscounts rose to tie the highest level in nearly five years, as sellersincreasingly came down to meet buyers on price.

High sales, record prices, re-saleinventory beginning to slip and still plenty of bidding wars (although at halfthe levels seems in 2015), is what we have seen in the second quarter of 2017,”said Jonathan Miller of Miller Samuel, Inc, the author of the report. “The key item from my perspective is greater negotiability at the highend of the marketplace. Listing discounts began rising in the last quarterwhich means that luxury sellers are becoming more realistic with pricing. Marketing time keeps expanding because buyers won’t budge. Marketing timekeeps expanding because buyers won’t budge and that is making for more sales assellers recognize that.”

“Northern Manhattan continues toshow brisk conditions as buyers seek out affordability,” added James. Sales in Northern Manhattan sales are four times what they were in 4xmore than they were 25 years ago.  Whatis clear is that the market remains surprisingly robust, especially on there-sale side.”

Highlights of the Douglas Elliman 2QManhattan Market Report:

- Price trend indicators movedhigher, 2 set new records

- Sharp rise in sales as inventoryslipped keeping market pace brisk

- New development inventory edgedhigher as re-sale inventory declined annually for first time in 3 years

- Overall market share of biddingwars slipped but remained above average

- Market share of cash sales fellto lowest level since began tracking more than 3 years ago

- Listing discount rose to tie thehighest level in nearly 5 years as sellers increasingly coming down to meetbuyers on price

- Luxury listing inventory fellsharply as aspirational priced listings were allowed to expire

Key Trend Metrics(compared to same year ago period)

- Median sales price jumped 7.3% to$1,189,011 [record]

- Price per square foot increased0.8% to $1,773

- Average sales price rose 7.9% to$2,189,037 [record]

- Number of sales surged 15.2% to3,153

- Listing inventory slipped 0.6%to 6,311

- Days on market rose 21.3% to 108days

- Listing discount was 6.1%, upfrom 2.2%

- Absorption rate was 6.0 months,down from 7 months

Co-op Market

- Median sales price increased 3.4%to $793,750

- Price per square foot rose 1.3%to $1,348

- Average sales price rose 4.8% to$1,363,916

- Number of sales jumped 22.2% to1,674

- Listing inventory slipped 0.4%to 2,775

Condo Market

- Median sales price increased 19%to $1,875,000 [record]

- Price per square foot rose 1.3%to $2,100

- Average sales price rose 13.2% to$3,122,946 [record]

- Number of sales increased 8.3% to1,479

- Listing inventory slipped 0.9%to 3,536

Luxury Market (upper 10% of allco-op and condo sales)

- Median sales price was$6,836,269, up 3.5%

- Price per square foot rose 2.2%to $3,037

- Average sales price rose 7.6% to$9,280,290

- Listing inventory declined 11.2%to 1,235

- Luxury market threshold jumped12.7% to $4,875,000 

New Development Market (co-op andcondo sales)

- Median sales price increased22.8% to $3,306,656

- Price per square foot slipped0.8% to $2,556

- Average sales price was up 7.3%to $4,703,544

- Number of sales rose 10.1% to 556

- Listing inventory rose 3.1%to 1,021

- Market share was 17.6%, down from18.5%

Re-sale Market (co-op and condosales)

- Median sales price increased 3.2%to $975,000

- Price per square foot was up 2.8%to $1,494

- Average sales price increased10.3% to $1,650,698

- Number of sales rose 16.4% to2,597

- Listing inventory slipped 1.3%to 5,290

- Market share was 82.4%, up from81.5%

Highlights of the Douglas Elliman 2QNorthern Manhattan Market Report:

Overview

- Market wideapartment price trend indicators flirt with records as buyers hampered bylimited supply

- Apartment listinginventory has fallen sharply year over year for the past 2 quarters

- Number of apartmentsales moved higher as remainder of Manhattan sought out greater affordabilityhere

- Market share ofManhattan apartment sales quadrupled from 2.1% in 2Q 1992 to 8.3% in 2Q 2017

- Townhouse salescontinued to be held back by lack of supply

- Townhouse pricetrend indicators moved sharply higher

Key Trend Metrics(compared to same year ago period)

Co-ops & Condos

- Median sales pricejumped 16.3% to $630,000

- Price per squarefoot increased 12.7% to $894

- Average sales pricerose 18.7% to $778,657 [record]

- Number of sales increased9.6% to 263

- Listing inventoryfell 16.3% to 303

Townhouses

- Median sales pricerose 9.3% to $2,187,500

- Price per squarefoot surged 36.3% to $943 [record]

- Average sales pricerose 14.7% to $2,237,750

- Number of salesfell 25.7% to 26

-Listing inventory declined 40.9% to 55

575 MADISON AVENUE, NEW YORK, NY 10022. 212. 891.7000 © 2017 DOUGLAS ELLIMAN REAL ESTATE. ALL MATERIAL PRESENTED HEREIN IS INTENDED FOR INFORMATION PURPOSES ONLY. WHILE, THIS INFORMATION IS BELIEVED TO BE CORRECT, IT IS REPRESENTED SUBJECT TO ERRORS, OMISSIONS, CHANGES OR WITHDRAWAL WITHOUT NOTICE. ALL PROPERTY INFORMATION, INCLUDING, BUT NOT LIMITED TO SQUARE FOOTAGE, ROOM COUNT, NUMBER OF BEDROOMS AND THE SCHOOL DISTRICT IN PROPERTY LISTINGS SHOULD BE VERIFIED BY YOUR OWN ATTORNEY, ARCHITECT OR ZONING EXPERT. EQUAL HOUSING OPPORTUNITY. CalBRE# 01947727