Manhattan vs. Brooklyn Q1 2017
Curious as to how the numbers stack up in Manhattan and Brooklyn? Here’s an infographic to give you a basic overview, based on Corcoran’s most recent quarterly reports for both boroughs. (Click here to view the full Manhattan Report and click here to view the full Brooklyn Report.) The infographic highlights the median price by apartment type for each kind of building covered by the report, and it also gives the lowdown for which areas are likely to be your best bets for affordability. Additionally, especially for sellers, there’s a focus on the median price per square foot for each area.
Note – I prefer to use the median rather than the average because the median represents the middle point – so half of all the listings noted in a given area are above that price and half are below.
Manhattan prices seem to be stabilizing, with the median price sitting at $1.134 million, just 1% lower than Q1 2016. The pace of sales also appears to be stabilizing – 8% fewer sales closed in Q1 2017 versus Q1 2016 – but contracts signed are up slightly – 3% higher in Q1 2017 than in Q1 2016.
Brooklyn’s prices continued to see incredible growth in Q1 2017, with the median sale price at $750,000 – a staggering 30% year over year increase. Unlike Manhattan, the Brooklyn sales market was a bit more robust – 7% more sales closed and 14% more contracts were signed in Q1 2017 versus Q1 2016.
Inventory continued to increase in Manhattan, with the number of available homes up 10% versus a year ago in the borough. Meanwhile, in Brooklyn, inventory actually ticked downward with 10% fewer listings versus Q1 2016.
All signs are pointing to market stabilization. More sellers are backing off price increases, with many actually lowering prices (more on that here at Curbed NY), and bidding wars are occurring less frequently. While recent political events still present a risk of an outside shock to the system, it seems to be the case that last quarter’s predictions of a more favorable market for buyers is starting to pan out. I would not call the current state of affairs a “buyer’s market,” as things are still pretty competitive. But I do think it’s a much better for market for buyers versus the past two years. If you’re on the sidelines, now might be a good time to consider getting back into the game.
In Manhattan, Uptown still reigns supreme when it comes to affordability while below 96th Street, Midtown offers some of the best prices. But the East Side still has a lot of affordable options, now with the added bonus of the Second Avenue Subway.
Year over year price growth is still very healthy in Brooklyn throughout the borough, but a willingness to go deeper into the borough will still yield much lower prices per square foot, especially in South Brooklyn and areas such as Bed-Stuy and Lefferts Gardens.
If you have more questions about the market, a specific neighborhood or NYC real estate in general (or you know someone else who could use some help), feel free to contact me. I’m always happy to help!
Nikki R. Thomas
Licensed Associate Real Estate Broker
The Corcoran Group – Village Office