Manhattan And Brooklyn
June 2018 Market Wide Summary
There was a divergence in June sales acitivity amongst condos and co-ops, as contracts signed rose for co-ops but fell by double-digits for condos. All pricing metrics for condos decreased, with median sale price being the most significant. Price statistics for co-ops were varied as average price increased substantially due to some very high-priced deals but median price decreased. The average price per square foot remained relatively flat for condos, while it increased almost 30% for co-ops. Listed inventory for condos reached a 12-month high for the third consecutive month, and co-op inventory rose 33% to its highest level for any June since 2012. Average days on market stayed relatively flat for condos, while it increased significantly for co-ops. Negotiability was up monthly and annually for condos and co-ops, as high inventory continues to drive up that figure.
Condominium Market Snapshot
In June 2018, condo sales experienced a year-over-year decline of 17%. With 390 signed contracts, it was the slowest June since 2009. In addition to the slow sales, year-over-year average and median price figures were down 12% and 16%, respectively. The decline in pricing was due to a large number of sales under $1M, and a lack of sales over $2M compared to last June. Average price per square foot, however, remained nearly flat, only down 1% as the average unit size was 200 square feet smaller compared to last year. The average price per square foot declined 10% for studios and 7% for one bedroom units, while two and three bedroom units had modest increases of 2% and 3%, respectively. Inventory rose dramatically, up 17% compared to last year to its highest point since October 2010. There was also a 1% monthly rise in inventory in June, which is unusual as there is typically a drop in inventory between the months of May and June because many sellers hold listings back from the market during the summer. Negotiability remained very high, as the average discount between last asking price and sale price increased to almost 4%.
Cooperative Market Snapshot
After six months of year-over-year declines, co-op sales rose in June for the second consecutive month. Average and median pricing metrics diverged, as average price had a significant 33% annual increase, while median price fell 6% due to 20% fewer sales over $900K compared to last year. The large increase in average price was the result of several high-priced sales occuring on Fifth Avenue and Park Avenue, that skewed the average. Average price per square foot increased a significant 29% due to these sales but the gains varied by unit type. Residences with three or more bedrooms saw the largest year-over-year increases at 64% and two bedrooms increased 15%, while one bedroom and studio residences decreased 4% and 18%, respectively. Inventory rose annually, but contrary to condominium units, inventory dropped month-over-month. Days on market rose 22%, due to more units on the market over six months compared to last year. Negotiability for co- ops also increased, as the average discount from last asking price to sale price increased to 2.1%, compared to 1.8% in May, and 0.8% last year