Market Insights

Last updated June, 2017.


Manhattan

 

  • The market for properties valued below $3 million is stronger than ever.
    • This is mostly re-sales.
    • New construction in this segment of the market is in high demand if priced around $2,000 per square foot.
  • Properties in the $4 to $6 million market have enjoyed a strong start to 2017 after a weaker-than-usual 2016.
  • There is a glut of new construction in the $10+ million range. This segment of the market is moving slowly… but picking up steam after an even slower 2016.
  • Downtown Manhattan is a popular choice among buyers who once would have only considered the Upper East Side or Upper West Side.
  • Supply of new inventory has caused buyers to expect new. Fully-renovated homes are selling for a significant premium.
    • On the other hand, homes that are not renovated make great value plays.
    • In particular, buyers who meet requirements for Upper East Side co-ops can find a steal. Many of these do not come to market renovated.
  • Other neighborhoods where buyers can find great value include: the East Village (east of Avenue A), the Lower East Side (below Delancey), and East End (east of 2nd Avenue on the Upper East Side).
  • With the Manhattan townhouse market out of reach for many would-be buyers, co-op and condo apartments within townhouses are desired for offering a similar lifestyle. They are also rare.
  • Upper Manhattan (above 96th Street) has seen much more appreciation than the rest of the borough in recent years, but many buyers still do not see it as a destination.
    • This won’t last forever. Harlem between 96th and 125th Streets in particular is full of character and excellent transportation.
    • With Brooklyn townhouse values soaring, Harlem is a relatively affordable option for townhouse buyers.

Brooklyn

 

  • Brooklyn’s condo market reached a new high in 2017 with a record $15,273,750 sale at 1 Main Street.
  • Demand for Brooklyn condos is higher than the incoming supply of new construction.
    • Developers are beginning to catch on, however.
  • Brooklyn Heights and DUMBO offer excellent value for would-be Manhattan buyers of the West Village and Tribeca, respectively.
  • The market in Northwest Brooklyn is flooded with renovated townhouses. That hasn’t stopped them from selling at record prices.
  • The L train shutdown, which begins in 2019, has hurt sales prices along the L… but not as much as rents. Buyers and tenants can take advantage of this.
  • Greenpoint is experiencing a construction boom, but most of the 5,000+ new apartments will be rentals with only a handful of condos.
  • In Park Slope: condos along 4th Ave are selling and setting a new boundary for the neighborhood.
  • Developers are now building condos in South Slope, outside of Park Slope’s historic district.
  • Historic townhouses in BedStuy and Crown Heights are relatively affordable and in high demand.
  • Bushwick is selling too, but to a much different type of buyer than historic BedStuy and Crown Heights. Look here for affordable new construction.