New Year 2020 through mid-March, 2020
The first quarter of 2020 started with a 13.5% year over year jump in the number of sales to 2,407. Sales in eight of the ten price strata rose annually, with the most significant percentage gains seen from $4 million to $7 million. All three overall price trend indicators haven’t seen a year over year increase in three straight quarters as sellers slowly capitulated to softer market conditions. This adjustment resulted in a sharp rise in sales.

Final two weeks of March 2020
After two years of weakening sales, the first quarter of 2020 showed a jump in closings as sellers became more in sync with the current market. However, that pattern was not reflective of the recent change in market conditions that began in early March and has been measured in terms of days. The near-term outlook for the Manhattan housing sales market is predicated on how long the consumer thinks it will take for the pandemic footprint to decline and when “shelter in place” restrictions end statewide. If the outbreak is not prolonged, there is still potential for a release of pent- up demand, but this depends on the extent of damage done to the economy.

See full Elliman Report Q1-2020 Manhattan Sales

​Categories: Douglas Elliman

Overview

• First time in 7 quarters the average sales price fell below $2 million as legacy contract pipeline clears
• Median sales price edged higher for third consecutive quarter, driven by re-sales
• Sales activity for the Manhattan housing market was at the lowest fourth quarter total in six years
• Pace of the fall market cooled as market participants awaited the housing-related terms of the new federal tax law
• Buyers continued to hold firm, forcing sellers to meet them on price
• Smaller apartments continued to see more bidding wars than larger apartments
• 90% of sales at or above $5 million were “all cash"
• New development inventory expanded annually for sixth consecutive month, but growth rate cooled

Numbers Summary

• There were 2,514 sales to close in the final quarter of the year, down 12.3% from the prior-year quarter.
• There were 5,451 listings at the end of the quarter, up 1.1% from the same period a year ago. As a result, the absorption rate, the number of months to sell all inventory at the current rate of sales, slowed as the pace expanded to 6.5 months from 5.6 months in the year-ago quarter.
• Listing discount, the percentage difference between the list price at the date of sale and the sales price, was 5.4% up nominally from 5.3% in the prior year quarter.
• Days on market, the average number of days to sell all apartments that closed during the quarter rose 3.2% to 97 days from 94 days in than the same period last year.
• Median sales price edged 1% higher to $1,060,000 from the year-ago quarter. Average sales price declined 10.6% to $1,897,503 over the same period, the first time this price trend indicator was below the $2 million threshold in two years. 

See the full Elliman Reports: Manhattan sales report.

• Resales showed a 7.7% jump to 2,429 from the same period last year outpacing the 4.2% gain in resale inventory to 4,859 listings. 
• The median resale price was $950,000, unchanged from the year-ago quarter while the other price trend indicators increased. Average resale price expanded 3.2% to $1,586,247, and the average resale price per square foot rose 4.1% to $1,495 respectively over the same period. 
• Closings of new development sales declined 25.4% to 463 from the year-ago period. They accounted for 16% of market-wide sales, down from a 21.6% share in the same period last year. 
• Luxury listing inventory continued to decline as many overpriced listings expired from sellers who were long disconnected with market conditions. There were 1,295 luxury listings, down 4.1% from the prior year quarter. 
• Listing discount, the percentage difference between the list price at the date of sale and the sales price, doubled to 4.2% from 2.1% in the prior year quarter as sellers worked harder to meet buyers on price. 

​See the full Elliman Reports: Manhattan sales report.