It’s time for the NYC monthly sales market update! Here’s a look at some key numbers for June 2023 in Manhattan and Brooklyn.
Sales posted a month over month (18%) and year over year (16%) decline in Manhattan. But that was expected, as sales usually slow down during the summer. Additionally, the annual decline was anticipated because June 2022 was a historically strong month.
Days on market decreased compared to the previous month. And inventory posted a slight decline as well compared to May 2023.
The average price per square foot was up both annually and monthly (up 3% and 5% respectively), but this was largely due to some high end sales during the month. The borough remains a buyer’s market, with the negotiability factor sitting at 3.8% below asking.
Sales in Brooklyn also declined compared to June 2022 (13%) and May 2023 (20%). This was also caused by seasonality, just like we saw in Manhattan.
But Brooklyn saw a puzzling trend in numbers otherwise. Inventory tightened significantly – down 21% compared to last year and 10% compared to May. But days on market rose sharply, up 35% year over year and 11% month over month.
So what’s behind this? It was most likely the sale of properties which had previously lingered on the market. With fewer options by comparison, some buyers finally chose to snap up places which had otherwise been overlooked. So the overall average for days on market was moved upwards since these properties had longer time on the market.
The borough otherwise remains a bit more of a seller’s market, with the negotiability factor sitting at 0.9% above asking for the month of June.
Buying in Manhattan continues to look appealing, especially given that interest rates are more likely to remain steady and/or see modest increases. When compared to the high cost of rent, studios, 1 bedrooms and small 2 bedrooms are especially good options.
Smaller apartments are probably a better bet than renting in Brooklyn, especially if you can find a place with low monthlies. But the market is otherwise likely to continue to be challenging for buyers.
However, as the scales tip more and more in favor of sellers, news about increasing prices could tempt more sellers to list. Buyers shouldn’t get their hopes up too high however, as many sellers may likely wait until after the Labor Day holiday to list.
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