StreetEasy Market Reports
AUGUST 2014 STREETEASY MANHATTAN CONDO MARKET REPORT:
Continued Constrain on Inventory and Record-High Manhattan Condo Prices in August Point to Challenging Fall for Buyers
From StreetEasy Data Scientist, Alan Lightfeldt: "Buyers hoping that the Manhattan condo market would cool by the fall may be in for disappointment as August data points to more of the same from spring and summer 2014: less inventory and higher prices. Without a substantial reversal of Manhattan’s two-year long inventory drought, sellers will continue to have the upper hand and buyers should not expect to see much relief in either prices or heated competition for the limited supply on the market."
- Manhattan condo inventory fell for the third consecutive month in August, down 4.6 percent from July. Inventory is 18.9 percent below the 5-year average level.
- Manhattan condo sale prices rose 0.4 percent from July to a new record high, and remain 8.8 percent above year-ago levels, according to the StreetEasy Condo Price Index.
- Among the four Manhattan submarkets, condo prices were the highest in Downtown, but the Upper East Side saw the highest month-over-month increase in prices (2.6 percent).
- The StreetEasy Condo Price Forecast predicts condo price growth will remain essentially flat in September, rising 0.1 percent from the prior month.
- Condos that went into contract in August spent a median of 63 days on the market, nearly half of what they were listed for at the previous market peak in September 2007 (112 days).
Mind the Gap
Prices for rentals and homes for sale in Brooklyn have increased markedly over the last few years. Some neighborhoods have even managed to surpass Manhattan price levels
Over the last few decades, Brooklyn has earned the reputation of being the “cool” New York City borough – home of the hipster movement, artisan manufacturing, and a burgeoning culinary scene. As a result of stepping out of the long shadow cast by its famous sister borough, Manhattan, Brooklyn real estate prices have risen in response to growing buyer and renter demand. To quantify the diminishing price gap between the two boroughs, StreetEasy compared median sale  and rent  prices in each of Brooklyn’s 49 neighborhoods to Manhattan’s median prices over the last five years.
The Fast Pace of Price Growth
Brooklyn sale prices are in high-growth mode. Twenty-eight of the borough’s 49 neighborhoods outpaced Manhattan’s 5-year growth rate in sales price. The neighborhoods with the greatest sale price increases (between 2010 and 2014) include a mix of stalwarts and surprises. DUMBO, by far the borough’s most expensive neighborhood with a median sale price of $1.5 million in 2014, saw prices increase 61 percent in four years. The Columbia Street Waterfront District, which boasts an industrial feel and waterfront views, saw prices increase by nearly as much. Considerable price growth was seen in the outer sections of the borough as well. Old Mill Basin, long a working class neighborhood in South Brooklyn, saw prices nearly double while Bergen Beach, a nearby middle-class neighborhood, saw prices increase by 73 percent.
Heightened demand for rentals in Brooklyn has caused a similar increase in rental prices, with 29 of the borough’s 49 neighborhoods outpacing Manhattan’s five-year rent growth. The neighborhoods with the greatest increases in rent, however, are not the usual suspects. Gowanus, Bushwick, Red Hook, and Bedford-Stuyvesant – all emerging neighborhoods with plenty of new restaurants, stores, and bars – saw rent prices increase the most since 2010.
Closing the Gap
Four Brooklyn neighborhoods topped Manhattan sale prices in 2014, including DUMBO, Columbia Street Waterfront District, Manhattan Beach, and Carroll Gardens. DUMBO stands in a class of its own with a median sale price of $1,507,500 – nearly 70 percent above Manhattan’s median sale price of $890,000. In fact, DUMBO’s median sale price was behind only six Manhattan neighborhoods (Soho, Tribeca, Nolita, Upper Carnegie Hill, Central Park South and Little Italy), making it one of the most expensive neighborhoods in New York City.
Several other neighborhoods are nearly closing the gap – including many of Brooklyn’s brownstone communities. Park Slope is just $40,000 (-4.5 percent) below the Manhattan median, followed by neighboring Boerum Hill (-5.6 percent) and Cobble Hill (-6.2 percent). Most other neighborhoods remain well below Manhattan, with East New York posting the borough’s lowest median sale price ($242,916) – a full 72 percent below Manhattan’s.
Despite the fact that rent growth outpaced Manhattan in nearly all neighborhoods in Brooklyn, just two – DUMBO and Williamsburg – are more expensive. Several neighborhoods are closing in on Manhattan prices, however. Median rent in Cobble Hill is just 6 percent below Manhattan, and Downtown Brooklyn, Boerum Hill, and Brooklyn Heights are close behind.
 Median sale price derived from all sales transactions recorded by the New York City Department of Finance; includes condos, co-ops, townhouses, and single-family residences (SFRs) through July 2014.  Median rent price derived from asking rents for apartments listed on StreetEasy through August 2014.
JULY 2014 STREETEASY MANHATTAN CONDO MARKET REPORT:
Manhattan Condo Inventory Shows Largest Annual Increase in Nearly Five Years, But Boost Doesn’t Shake Record-High Sale Prices
From StreetEasy Data Scientist, Alan Lightfeldt: "The market has been starved for more supply, and the growth in prices is a direct result of stubbornly low inventory that simply cannot keep pace with demand in Manhattan. The hope was for a greater lift from the busy spring months, but with inventory still so far below normal, condo prices will continue to hover at or above record highs.”
- Manhattan condo inventory grew 5.4 percent in July 2014 compared to July 2013, the largest annual increase since October 2009.
- Manhattan condo sale prices rose 1.1 percent from June to July to a 19-year high, and remain 10 percent above year-ago levels, according to the StreetEasy Condo Price Index.
- The StreetEasy Condo Price Forecast predicts condo price growth will post a slight gain in August, rising 0.4 percent from the prior month.
- Pending sales, or homes that entered into contract, decreased 8.5 percent from June and are 7.1 percent below year-ago levels.
- Median time on market for Manhattan condos increased to 63 days in July after spending spring months at a record low of 49 days.
Q2 2014 STREETEASY MANHATTAN REAL ESTATE MARKET REPORT:
Spring Brings Continued Signs of Easing Prices, But Majority of Manhattan Inventory Still Priced Above $1 Million
From StreetEasy Data Scientist, Alan Lightfeldt: "This year, the Manhattan market is showing signs of settling into a more sustainable path after a record-hot 2013. As inventory inches up and price growth eases, we’re seeing some negotiating power for buyers come back to the table as some sellers get less bullish with their pricing. One aspect of the market hasn’t changed though: buyers need to be poised to move quickly if they find the right property.”
- The median sale price of all home types in Manhattan rose 1.1 percent to $890,000 from Q1 to Q2 2014, but increased 7.2 percent compared to Q2 2013.
- The spring selling season lifted Manhattan inventory 10.5 percent from Q1, but is still down 7.9 percent compared to year-ago levels.
- Nearly half of all available Manhattan listings in Q2 were priced above $1.3 million. The Downtown sub-market had the highest proportion of expensive listings, with 3 in 5 homes priced above $1.3 million.
- Just over 1 in 5 homes on the market (22 percent) saw a price cut in Q2, compared to 19.8 percent a year ago. The share of price increases among all homes available throughout the quarter declined slightly to 6.7 percent in Q2 from 7.6 percent a year ago.
MAY 2014 STREETEASY MANHATTAN CONDO MARKET REPORT:
Rising Manhattan Condo Prices Lose Momentum as Spring Season Comes to a Close
As the Spring selling season comes to a close, Manhattan condo prices showed early signs of easing as more units were available to buyers - although prices remain much higher and inventory remains much lower than year-ago levels.
- Manhattan condo sale prices declined 1.4 percent from April to May, but remain 10.7 percent above year-ago levels, according to the StreetEasy Condo Price Index.
- The StreetEasy Condo Price Forecast predicts condo prices will continue to fall slightly in June, declining 0.3 percent from the prior month.
- Manhattan inventory increased 2.7 percent from April, the fifth consecutive month of inventory increases. Nearly half of available condos for sale were priced above $1.9 million.
- Pending sales, or homes that entered into contract, increased 9.6 percent in May, but declined 27.7 percent compared to this same time last year.
APRIL 2014 STREETEASY MANHATTAN CONDO MARKET REPORT:
Condo sale prices experience largest monthly drop in more than three years
Today, StreetEasy published a new monthly Manhattan Condo Market Report, which provides a timely snapshot of Manhattan condo market trends. The report introduces new metrics, such as the StreetEasy Condo Price Index (SECPI) – formerly known as the Condo Market Index – inventory price tiers, and the newly released StreetEasy Condo Price Forecast (SECPF). StreetEasy is the first and only New York City real estate marketplace to forecast condo prices for Manhattan.
- Manhattan condo sale prices declined 1.4 percent in April, the largest monthly decline in 3.5 years, according to the StreetEasy Condo Price Index
- According to the new StreetEasy Condo Price Forecast, condo prices are expected to stay essentially flat through the spring selling season, increasing 0.1 percent in May.
- Pending sales, or homes that entered into contract, decreased 3.2 percent after rising in Feb. and March. Pending sales are down 13.7 percent compared to April 2013 levels.
- Manhattan inventory increased 3.6 percent on a monthly basis, the fourth consecutive month of inventory increases. Nearly half of available condos for sale were priced above $1.9 million.
What’s NYC’s Next Hot Neighborhood?
With inventory moving at a record fast pace and real estate prices continuing to rise, StreetEasy decided to look for value outside of the traditional New York City hotspots. To identify “up-and-coming” neighborhoods, we found areas in Manhattan and Brooklyn that had lower median sales prices last quarter compared to the borough at large, but showed a greater overall year-over-year increase in sale price. In other words, these neighborhoods still have deals – but they may not last long.
According to StreetEasy’s data, Manhattan’s up-and-coming neighbors are split between the northern and southern tips of the island. Upper Manhattan neighborhoods include East Harlem, Morningside Heights and Washington Heights while Downtown neighborhoods include the Lower East Side and Fulton/Seaport.
Brooklyn’s list was less geographically polarized than Manhattan’s, including a handful of neighborhoods on the eastern edge of the borough such as East New York and Canarsie in addition to neighborhoods near Prospect Park like Kensington, Flatbush and Sunset Park.
Q1 2014 STREETEASY MANHATTAN MARKET REPORT:
Manhattan Buyers Face Tightest Inventory Since 2007, Condo Prices Surge Against Limited Supply
Median Recorded Sale Price increased to $900,000 in Q1 2014, up 6.5% since last quarter and 16.9% year-over-year.
Total Inventory fell 13.0% since Q1 2013 and by 1.0% compared to the previous quarter. This is the lowest inventory level since Q4 2007.
Contract Activity decreased by 9.3 percent since Q4 2013, and 15.2 percent year-over-year.
Time on Market was 89 days on average in Q1 2014, a 35.2% decrease compared to 137 days last year and the lowest average since StreetEasy began tracking this data in 1995.
StreetEasy Condo Market Index for February 2014 increased by 2.6% since January and by 16.3% since February 2013. The index is currently at its all-time high.Get the full report in PDF format
Luck of the Irish: St. Patrick’s Parade Route Houses Priciest Real Estate
Everything is big in New York City, and celebrating St. Patrick’s Day isn’t any different. Whether you’re of Irish descent or not, every year New Yorkers dust off their green attire, flock to their favorite Irish pubs for a Guinness and, most importantly, wander to Fifth Ave. to catch the famous St. Patrick’s Day parade. With St. Patrick’s Day right around the corner, StreetEasy decided to crunch some numbers and find out if the luck of the Irish had any connection to real estate. This year, we compared median sale prices of homes along three of the city’s biggest parade routes to see which boasted the priciest real estate. At a median sale price of $3.7 million, the St. Patrick's Day Parade comes out on top, followed by the Thanksgiving Day Parade ($2.0 million) and the Gay Pride March ($1.6 million).
Want to snag your own pad to view the St. Patrick’s Day Parade? Check out our favorite homes for sale along the parade route.
One Year After Sandy - A Special Report
We were there a year ago when Superstorm Sandy hit New York City leaving hundreds of thousands of New Yorkers without power, flooding subway stations and tunnels, closing the New York Stock Exchange for two days, as well as creating a gas shortage for the first time in decades. Damages had been estimated to be approximately $18 billion. With loss of electricity, running water, and heat, thousands of residents and businesses were displaced in the aftermath of Sandy.
Today, StreetEasy is proud to release our one-year anniversary report as we look back on the New York City real estate market after Superstorm Sandy, entitled, “A Tale of Two Recoveries.” The report provides a unique look at how quickly the NYC real estate market reacted, how quickly it recovered and by how much by looking at closings, sales listings and rental listings data.
Get the full report in PDF format
New Development Market Report
- Median listing price increased 5.8% since six months ago and by 9.5% since a year ago.
- Overall inventory has declined by 20.7% compared to six months ago and by 27.5% since last year. The Upper West and Upper Manhattan had the biggest declines in inventory.
- There were 26.1% fewer new contracts compared to six months ago but 21.4% more since a year ago.
Brooklyn & Queens
- In Brooklyn, contracts have decreased 27.6% since six months ago and by 19.2% since last year. Inventory has declined 34.4% since six months ago and by 49.9% since a year ago.
- In Queens, the median listing price is now $660,000 which is 1.3% lower than six months ago and 3.3% higher than a year ago. Inventory declined by 58.5% since six months ago and by 64.3% since a year ago.
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