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4th Quarter Manhattan Market Reports Released- What does it mean to You?

By
Real Estate Agent with Douglas Elliman Real Estate

New York City 4th Quarter Market Report

I was very interested in the 4th Quarter Market Reports coming out from the major real estate companies here in New York City.  Unless you were on a deserted island somewhere or had your head buried in the sand, the last quarter of 2008 showed a lot of distress for New York City real estate. 

What does all of this analysis mean to you?  Are you looking to buy, sell, invest, or rent?  Are you looking to buy a co-op, condominium, loft, or townhouse?  Do you want to live Downtown, on the West Side, the East Side , or Uptown?  Each type of property in Manhattan is affected differently, and each neighborhood is has it's owns variables that will shape value.  We all know that prices have gone down, but depending on your own situation you need to know the facts.

The overall conclusions from all the reports are that the number of transactions occurring has decreased dramatically and that sales prices have declined.  The actual drop for median closed prices was small, 3-4%, a reflection of the long lag time between contracts being signed and closing dates.  Its been agreed that the last quarter's drastic drop in transactions and downward pressure on contract prices indicate that the 1st Quarter reports of 2009 will confirm the current declines.

One of the more interesting statistics that I took away was that contract price levels showed an average decline of 20% from August 2008.  There were over 9,000 apartments available during the 4th quarter, up over 39% from the same period last year.  The days on market increased 25 days to 159 days from last list date.  The Listing Discount from last list price was 7.3% up approximately 5% from the prior quarter. 

If you would like a specialized market report for your building or neighborhood focusing on what you are thinking of buying or selling contact me with your criteria.

Prudential Douglas Elliman 4th Quarter Market Report for Manhattan

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Morgan Evans is a Licensed Real Estate salesperson in Manhattan New York specialize in neighborhoods such as: Greenwich Village, Soho, Union Square, Upper East Side, Upper West Side, Chelsea, Midtown West, Midtown East, Nolita, Lower East side, Financial District in Manhattan. Morgan specialize in working with international buyer, high net worth buyers,  parents buying for children and investors buyers. Contact him today by calling (917)837-8869.

https://www.eileenandmorgan.com/
Dorchester Towers Condo

 

Comments (6)

Sonny Kwan
Quantum Group Commercial - Residential - Lease Seattle, WA - Mercer Island, WA
206-819-8228

Your Fourth quarter hopefully means good things to markets across the country, NYC is on the fore front of the Real estate market in my opinion. You are our future 6 months from now.

Jan 10, 2009 01:09 PM
Eileen Hsu
Douglas Elliman Real Estate - Manhattan, NY
LICENSED REAL ESTATE SALESPERSON

Thanks for sharing this with everyone. I think the market is definitely different than ever before, it is important to educate buyers and sellers with statistical numbers and report. You are doing a great job.

Jan 10, 2009 02:51 PM
Richard Ives
Chicago, IL

Great post Morgan.  Have a wonderful 2009!

Jan 13, 2009 07:57 AM
Laurie Mindnich
Centennial, CO

Morgan, I've been fascinated with the Florida market as an example of the absolute worst that could happen.

 I don't see that devastation here, but indicators don't advise short term optimism for sellers in NY.

 Following trends on your part offers MUCH value to your clients- good for them.

Jan 13, 2009 10:38 AM
Richard Stabile
Re/Max Real Estate Limited - Oradell, NJ
Bergen County New Homes Builder Realtor

Morgan:

Manhattan is will most likely get worst due to the lack of Jumbo mortgages.

Richard

Jan 14, 2009 01:11 AM
Morgan Evans
Douglas Elliman Real Estate - Manhattan, NY
LICENSED REAL ESTATE SALESPERSON

The majority of the transactions occurring right now are under a million dollars and the majority of those are in the half million range.  I believe that conforming loans in New York right now are in the 650k range, so under that price point borrowers are seeing excellent interest rates.  If you factor in that down payments are on average 20% or greater for the co-ops that would put the purchase price of to around 800k.  There are a lot of 1 bedroom properties in that price range and those are the ones that are moving.  The opportunity for first time buyers in this market is tremendous being that interest rates are low and once unattainable prices are now becoming more realistic to incomes and current rents. 

Jan 14, 2009 02:17 AM