Average Apartment Sale Price Up in Manhattan
- Oct 02, 2014
New York—A third quarter Brown Harris Stevens Manhattan residential market report released Oct. 1 shows that the average apartment sale price remained unchanged from the previous quarter, but was up 18 percent from the same quarter of the previous year to $1.67 million—the second highest average apartment price ever recorded.
Other highlights from the report show that the average price per square foot for a loft was up 16 percent from Q3 2013 to $1,524, setting a new record for that statistic. Additionally, the time resales averaged on the market was down by 70 days from the previous quarter, as well as from the same period in 2013.
“We’ve had low inventory for some time and it’s just now inching up,” says Hall F. Willkie, president of Brown Harris Stevens Residential Sales. “Our current absorption rate is just 4.2 months when historically a rate of six-nine months indicates a balanced market.”
The median price edged up 3 percent to $898,500 from last year, and the number of closings dipped 15 percent from the previous quarter to 2,712, despite a slight increase from the same time the previous year.
Three-bedroom and larger co-oops and condo sales showed the highest gains, with the average price for a three-bedroom and larger co-op rising 42 percent, while the average price for cooperative apartments was up 15 percent from the third quarter 2013. The average price of condominiums sold in the third quarter was up 20 percent from last year to $2,187,658.
Statistics for specific areas of Manhattan varied. On the East Side, the average resale condo price per square foot rose 8 percent over last year, while the West Side showed increases in all categories which including an average price increase of three-bedroom or larger apartments of 38 percent. The Downtown market from 34th street to 14th street had a spike in average price of two and three-plus-bedroom units, while studios dropped by one percent and, below 14th street average prices for three-plus bedrooms decreased.
“The sales of larger apartments has pushed the average sales price higher over last year, however, it’s important to note that the median price for resales is unchanged from a year ago and virtually the same as last quarter,” Willkie says. “As always, homes that are properly priced for the current market sell.”