Source: Inhabit
The Manhattan market showed remarkable strength this quarter, proving its ability to thrive despite economic and political uncertainty. Market fundamentals are solid, and the upward trend is locked in.
- Record Streak: All major price metrics have risen for the third consecutive quarter—a trend not seen since 2022.
- Pace of Sales: Contract activity is now on its sixth straight quarter of annual growth, tying a record not achieved since before 2009.
- The Bottom Line: Demand remains strong, fueled largely by a highly active luxury segment.
Sales Volume and Velocity Grew Significantly
- Closed Sales: We saw 3,281 closings, marking a 5% annual increase and the highest total for a third quarter since 2022.
- Total Volume: Sales volume climbed by 10% year-over-year, reaching $6.56 billion.
- Time on Market: The average Days on Market (DOM) fell to 103 days, reflecting a faster pace of deals and confident buyers.
Median Price Reaches a Post-Pandemic Record
- Record Median Price: The median sale price hit a post-pandemic high of $1.225 Million, up 7% annually from Q3 2024.
- Price Per Square Foot: Average price per square foot climbed 5% year-over-year to $1,792.
- Fueling Appreciation: The strong performance was driven by an active luxury segment and an increasing share of high-value condominium sales.
Active Deal-Making Is Keeping Supply Tight
- Current Supply: Active listings totaled 6,536, only a slight 1% increase year-over-year and an 11% drop from the prior quarter.
- New listings rose for the second straight quarter, but robust contract activity kept the overall supply steady and competitive.
- The continued stability shows that the market is handling increased inventory efficiently.
What This Means
The market demonstrated exceptional resilience and momentum throughout the third quarter. Leading experts remain highly confident in the long-term appeal of Manhattan real estate.
Takeaways and Future Outlook
- Record Pricing: Median values hit a post-pandemic high (up 7% YoY).
- Seller Leverage: Competitive demand grants significant pricing leverage.
- Act Decisively: The market's fast pace (DOM at 103 days) demands prepared buyers.
