NYC Real Estate Market Update Q3 2021
It’s time to take a look at the latest NYC real estate market update for Q3 2021.
To view the full report, visit the links below:
The Manhattan sales market wasn’t just “back” in Q3 2021. It was thriving.
Closed sales were up a staggering 210% year over year and up 19% quarter over quarter. While signed contracts slid quarter over quarter (Q2 2021 was record breaking, after all), they were up a whopping 81% year over year.
Signs of market absorption also showed marked improvement. The average for days on market was down 21% both year over year and quarter over year. And inventory declined by 28% versus 2020, down to one the lowest levels seen since the beginning of the pandemic.
While prices were down slightly versus Q2 2021, the median price for Q3 2021 stood at $1,190,000 – up 10% versus Q3 2020.
Across the river, the Brooklyn market also saw record breaking action.
In fact, with 2,550 sales, Q3 2021 was the most active quarter for apartment closings on record for the borough.
Like Manhattan, contract signings slid quarter over quarter. But they were up an impressive 57% year over year.
And days on market also decreased both quarter over quarter and year over year.
But unlike its neighbor, Brooklyn actually saw increases in inventory – up 2% year over year and 14% quarter over year. The latter likely happened due to seller optimism from the market’s strong performance in Q2 2021.
The median price in the borough also had very strong growth. It stood at $828,000 – a 2% increase versus Q2 2021 and an 18% increase versus Q3 2020.
While some slowing is anticipated, the final quarter of the year is expected to be a solid one. Positivity rates in NYC are at some of the lowest levels seen since mid-summer. And many are increasingly optimistic about NYC’s financial prospects now that many of the city’s cultural offerings are available again (in particular, Broadway). here’s also another shoe that may drop soon which could really bolster the market – the return of foreign buyers.
Buyers and sellers are increasingly on equal footing in both Manhattan and Brooklyn. And inventory has finally started to come down more in line with normal levels. Although the Federal Reserve has indicated that they might raise interest rates in the near future, interest rates remain at historic lows. So buyers are still going to save quite a bit of money by locking in great rates in the coming months. That alone is a great reason to buy.