It’s time for the NYC monthly sales market update! Here’s a look at some key numbers for March 2023 in Manhattan and Brooklyn.
While year over year sales continued to be down (to the tune of 30%), March saw a continued trend of increased month over month activity. Signed contracts were up by 27% compared to February.
Prices might be showing some signs of stabilization. They were virtually flat month over month but actually increased slightly compared to last March. But this was likely due to more deals at the higher end compared to last year this time.
Limited inventory is likely another contributing factor to price moderation. With the exception of 2020, this March’s inventory was the lowest seen in five years.
But that being said, buyers still hold the upper hand in Manhattan, with the negotiability factor sitting at 3.7% below asking for the month.
Signed contracts in Brooklyn mirrored the trends seen in Manhattan. There were fewer deals compared to March 2022, but signed contracts catapulted compared to February 2023 (up 43%).
Prices slipped a little both year over year (3%) and month over month (2%). But this was primarily due to more lower priced sales occurring during March compared to February.
Inventory in the borough finally saw a meaningful increase of 10% month over month. But it’s still lower than what we saw last year this time.
Buyers aren’t in the driver’s seat in Brooklyn, and that’s reflected in the negotiability factor, which stood at 0.3%. However, it’s important to note that 46% of listings sold below asking, while 35% of deals sold above asking. So, location is key in terms of negotiability.
We’re starting to see signs of a true spring sales market emerging. And absent an outside shock to the system, this trend is likely to continue. But it’s unclear if we’ll see another significant month over month increase in sales activity.
Interest rates are still high and don’t show much sign of going down. But, they are showing more signs of stabilizing. If buyers and sellers feel more security about where the market stands, they’re going to be much more willing to jump into action.
We should keep an eye out for what’s going on in the suburbs. Why? Many listings in NYC come onto the market as a result of folks relocating to the suburbs. The better the prices and inventory are out there, the more likely folks here may decamp to them. So if the situation improves measurably, we can expect to finally see some inventory gains in Manhattan and Brooklyn. And that may encourage more buyers and sellers into the market.
Get my NYC First Time Home Buyer Guide FREE when you sign up for my monthly newsletter
By clicking Sign Up you're confirming that you agree with our Terms and Conditions.