Manhattan vs. Brooklyn – The Prices Q1 2016
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 type of building covered by the report, and also gives the lowdown for which areas are likely to be your best bets for affordability.
Note – I prefer to use the median rather than the average price 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 continued their rise through the first quarter of 2016, going up to a record breaking $1,160,000. However, there are continued signs of the market cooling off just a little bit – overall closed sales figures in the first quarter decreased 5% year-over-year, and signed contracts dropped 11% from Q1 2015.
Brooklyn still seems to be going very, very strong. The borough saw its median sale price rise 15% versus last year to $606,000. But like Manhattan, the market does appear to be leveling off just a little more – closings were almost exactly on par with Q1 2015.
With the rise of new developments throughout the city, both boroughs have seen a welcomed increase in overall inventory. The available inventory of homes in Manhattan was up 8% versus a year ago at 5,341. Meanwhile, in Brooklyn, inventory increased to 2,281, a 17% rise versus Q1 2015.
If the first quarter is any indication, the predictions of more moderate price growth for 2016 may indeed be panning out. But we are currently in the midst of the busy spring sales season, so a more definite pattern likely won’t emerge until the end of June.
Upper Manhattan, Midtown, the Financial District and Battery Park City all remain as top picks for places for buyers to consider in terms of affordability, and the East Side also offers some well priced options. Brooklyn still offers many neighborhoods with great value, but the deeper parts of the borough have been seeing incredible increases in value (the median price per square foot in Bed-Stuy, Crown Heights, Lefferts Gardens and Bushwick has increased more than 30%). So if you’re looking to get a deal on the “next big thing,” your window of time may be starting to close.
If you have more questions about the market, a specific neighborhood or NYC real estate in general (or you know someone who could use some help), feel free to contact me. I’m always happy to help!