It’s time to take a look at the NYC real estate market update for Q3 2025. 

To view the full reports, visit the links below:

Corcoran NYC Real Estate Market Update Q3 2025 – Manhattan

Corcoran NYC Real Estate Market Update Q3 2025 – Brooklyn 

To check out stats from the prior quarter, click here. 

The Breakdown

Manhattan

The Manhattan sales market had a solid performance despite a significant amount of economic uncertainty during Q3 2025. 

The median price hit $1,225,000. This was the highest level seen in the borough since 2020. But this was largely due to more sales in the luxury segment and more condo sales. These same factors also influenced the average price per square foot which was up 5% year over year to $1,792. 

Closed sales were up year over year. And contracts signed also increased slightly compared to 2024. They were also down sharply compared to Q2, but that’s typical of seasonality. 

Lower inventory combined with improved interest rates resulted in less time on market for listings. Properties stayed on the market an average of 103 days. This was down 6% compared to the prior year and 12% compared to the prior quarter. The quarterly drop was a bit of a surprise, since spring is usually the busier time of year for sales.

Brooklyn

Brooklyn had a somewhat weaker performance compared to Manhattan. 

The median price hit a record high of $925,000. And the average price per square foot likewise hit historic heights ($1,198 per square foot). This happened thanks to more sales in higher end new developments and more expensive neighborhoods.  

Signed contracts did manage an increase compared to 2024. And closed sales also increased compared to the prior quarter. But closings were still at one of the lowest levels we’ve seen in almost a decade. 

Inventory further added to the market’s headwinds. It declined sharply due to less new development and lukewarm resale listings. So the lack of options likely kept some potential buyers on the sidelines. 

But the lower inventory translated to some good news for sellers who did list. Time on market was down by double digits on both an annual and quarterly basis. 

The Takeaway

Manhattan is proving to be particularly resilient in the face of economic uncertainty. It could be due to less reliance on financing for transactions. But it could also be the case that Manhattan is just viewed as a good investment when it comes to real estate. Improved inventory and better interest rates later in the summer likely also bolstered the market. 

Brooklyn, on the other hand, seems to have a bit of a malaise that it just can’t quite shake. The borough has more buyers reliant on financing. But as mentioned earlier, interest rates did improve throughout the summer. However, the lack of inventory seems to be keeping a lid on buyer interest. And that’s likely to remain the case for quite some time unless and until interest rates can hit a level to overcome the seller “lock in” effect. 

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