2019 is officially in the books, and it was a very interesting year in Manhattan real estate. The 2nd Quarter saw a large spike in luxury home sales because of the Mansion Tax going into effect on July 1. Then, we experienced a bit of a slump in the 3rd Quarter in the wake of that unusual market activity.
4th Quarter Sales Data
Our brokerage, Douglas Elliman Real Estate, just released its 4th quarter Elliman Report for all its major markets across the country. In this article, we would like to review some of the key data and share our thoughts on this past quarter’s real estate trends in the Manhattan co-op and condo market.
Traditionally, Q4 is one of the slower quarters for Manhattan real estate. With the holidays and colder weather, you can rarely expect it to be as active as the spring and summer markets. Some numbers, like average sales price, went up in Q4 compared to Q3. That is encouraging to see. However, many figures were actually lower than what was already considered a slow past quarter. In addition, we saw drops in many categories when comparing the year-over-year sales from the 4th Quarter of 2018.
A Closer Look
Here are some of the most important numbers we always look at:
• Average Sales Price – $1,815,700
(Up 9.6% from Q3 2019, but down 7.5% from Q4 2018)
• Median Sales Price – $999,000
(Down 2.5% from Q3 2019 and equal to Q4 2018)
• Number of Sales Closed – 2,404
(Down 6.2% from Q3 2019 and down 1.2% from Q4 2018)
• Total Listing Inventory (Active) – 6,643
(Down 9.6% from Q3 2019, but up 9.0% from Q4 2018)
• Average Days on the Market – 99
(Up 8.8% from Q3 2019 and up 6.5% from Q4 2018)
Click here to see the full Q4 2019 Elliman Report for Manhattan Sales (along with other markets) or download the PDF here. The numbers shown in this article reflect Manhattan condo and co-op sales. The full report breaks down more sales categories including luxury homes.
What it All Means
Some experts will say it was a very tough Q4, but real estate is always a cyclical market that tends to balance out over time. New Yorkers are still reeling some from the Mansion Tax. We expect that to balance out as 2020 rolls along and we get into a more active spring and summer market. Even in this 1st Quarter, we expect to see more positive activity as both buyers and sellers get ready to take action in the months ahead.
Stay tuned to the Tom & Mickey Blog next week for our look ahead to 2020. We examine more Manhattan real estate trends and forecast what we expect to happen in this year’s New York real estate market.
Tom Postilio & Mickey Conlon are leading real estate brokers, serving the Manhattan luxury home market. For more information about what’s happening in New York real estate or to schedule a home buying or selling consultation, contact them today.