While home prices are dropping in Manhattan, price trends in the outer boroughs saw different outcomes last quarter.
StreetEasy.com recently released their fourth quarter market report, where they specifically took a look at price trends in Manhattan, Brooklyn and Queens. According to their findings, the Manhattan sales market stayed slow with home sales falling 3.7% this quarter to $1,086,217. However, total sales inventory rose 3%, with homes staying on the market for 96 days, 10 more than last year.
Additionally, while the luxury inventory rose 12.2% this past quarter, prices for luxury units in Manhattan have dropped 6.1%, matching prices that were last seen in 2013.
“With so much new construction saturating the Manhattan real estate market, we were bound to see prices start to sink at record paces,” says StreetEasy Economist Nancy Wu. “This is happening across all price points and boroughs, as prospective buyers wait out the market from the comfort of their rentals. Market dynamics in 2020 will continue to favor the buyer across all price tiers, and many sellers will have to face the fact that if they want to sell, it may very well be for less than their initial asking price.”
In Brooklyn, rental prices continued to grow 5.2% annually in the fourth quarter, which is the biggest jump the borough has seen in six years. The North Brooklyn area, which StreetEasy identifies as Williamsburg, East Williamsburg and Greenpoint, saw the highest growth in rents, raising 5.9% to $3,238. StreetEasy cites the neighborhood bouncing back from the cancelled L train shutdown as part of the reason for the growth.
Over in Queens home prices stayed relatively stable, remaining at the same price as last year at $509,202. Total home inventory in Queens saw a slight increase, raising 1.2% last quarter.
To read the full report, visit streeteasy.com.