RealtyBizNews - Real Estate Marketing and Beyond
Real Estate Marketing & Beyond
Home » Housing » Residential » Apartment Prices In Manhattan Fall

Apartment Prices In Manhattan Fall

By Allison Halliday | July 2, 2011
  • Prices of Manhattan apartments fell during the second quarter, as did the number of sales, with buyers lacking the urgency to purchase property.

    Super luxury apartments
    Manhattan apartment prices continue to fall. Courtesy of NY Daily News

    Purchases were down 3.8% compared with the same period last year, to just 2,650, according to a report by New York appraiser, Miller Samuel Inc. and brokers Prudential Douglas Elliman Real Estate. The median price of condominiums and co-ops has fallen by 5.5% to $850,000.

    This effect is at least partially due to the lack of any federal tax credit, as last year buyers were in a hurry to close deals before June 30th, which is when the federal tax credit expired. This credit was worth up to $8,000, and it artificially inflated sale prices and volumes.

    Apparently these sales prices and volumes for the second quarter are about average, and are what could have reasonably been expected last year had there not been any tax credit available.

    Real estate experts think that people are still adopting a wait and see approach, and are in no hurry to commit to buying property.

    The unemployment rate in New York is currently at a 25 month low, at 8.6% in May, which is 1% less than a year ago. The financial industry in New York registered a gain of 10,400 jobs from May 2010 to May 2011.

    Manhattan apartments
    Prices of Manhattan apartments down 3.8%. Courtesy of Millernagan

    Property in Manhattan is now on the market for an average of 136 days, which is 30% longer than a year ago. However listing discounts dropped from 9.1% to 3.5%, according to Miller Samuel and Prudential, indicating a stable rather than booming market.
    Prices of luxury apartments increased by up to 11% year on year, while prices of new apartments declined by an average of 19%.

  • 2 comments on “Apartment Prices In Manhattan Fall”

    1. thank you, Bill. Nicely noted.

      The reality is that Manhattan (US) is not perceived as a safe heaven for investors. A good demand for US real estate has always been foreigners. Now that Europe is under pressure and high-net-worth Asian investors are reluctant for US-derived assets, it is likely there will still be space for further decline in prices, on average.

  • Advertise with RealtyBizNews - Media Kit
  • real estate digital marketing
  • Get Free Digital Marketing Training
    right to your inbox
    All Contents © Copyright RealtyBizNews · All Rights Reserved. 2016-2022
    Website Designed by Swaydesign.
    linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram