The Pulse - Manhattan Luxury Market 3/11/24

Contract numbers have remained steadily above average for the past 7 weeks,indicating a robust and active Manhattan luxury real estate market. Welcome to this edition of the Pulse , your essential guide to the $4M and over residential Manhattan market. Let's dive in!

Key Takeaways from Last Week:

1- Consistent Above-Average Contract Numbers: For the seventh consecutive week, Manhattan luxury contract numbers have remained steadfastly above average, with 26 contracts signed – mirroring the previous week's figures. Despite a 38% decline in luxury contract numbers year-to-date this March, the impact has been mitigated by a 21% decrease in new listings, underscoring the market's resilience.

2- Condos and Downtown Dominate: Condos and downtown properties continued to dominate the market, accounting for 65% and 42% of contracts respectively last week.

#3- Increasing Negotiations: A notable 46% of contracts received a discount from their original asking price to the last asking price, with the median discount standing at 10%. Sellers are increasingly aligning their expectations with market realities, fostering a conducive environment for negotiations.

#4- Rise in Contract Dollar Volume: Contract dollar volume surged by 42% from the previous week, driven by an uptick in contracts at higher price points.

#5- Positive Macroeconomic Indicators: Encouraging macroeconomic news unfolded this week, with the job growth rate surpassing expectations. However, the rise in the unemployment rate to 3.7% suggests a nuanced outlook, potentially paving the way for rate cuts later in the year.

Top 2 Contracts: LINK to photos & details of all 26 contracts

#1- 778 Park Avenue #9: This prewar $20M co-op, boasting 6 bedrooms, 7.5 baths, and spanning 6,500 sq. ft., witnessed a $5M reduction. With a price per square foot of $3,076, this represents an exceptional opportunity in one of Manhattan's most coveted addresses.

#2- 1 West Avenue #29B: A recent new development condo, reduced by $950,000 in a sponsor sale, offers 4 bedrooms, 5.5 baths, and 3,302 sq. ft. After 862 days on the market, this property presents a compelling value proposition at $3,385 per square foot.

Strategic Insights for Sellers and Buyers:

Sellers: With March historically representing the prime listing season, now is an opportune moment to enter the market. Leveraging the sustained above-average contract numbers, coupled with an impeccable marketing strategy, positions sellers favorably. Additionally, listing in spring can circumvent the traditional slowdown witnessed during presidential elections, with pent-up demand often following electoral cycles. Maximize the potential of your property by listing during this active market season. With strategic pricing and a comprehensive marketing approach, now is the perfect time to showcase your luxury residence to discerning buyers. Contact me  to discuss your listing strategy and unlock the value of your investment.

Buyers: Recent data indicates an increasing number of contracts receiving discounts, particularly for properties on the market for extended periods or those subject to price reductions. These conditions present a favorable landscape for astute buyers seeking value. Are you ready to seize the opportunity in Manhattan's luxury real estate market? Take advantage of the current landscape with discounted properties and favorable negotiation terms. Reach out today to explore exclusive listings and find your dream home.

As we conclude this week's edition of the Pulse Manhattan luxury report, we invite you to share this valuable insight with your network. Your feedback is invaluable to us as we strive to continuously enhance our services. Don't hesitate to reach out for personalized neighborhood or building performance reports tailored to your specific requirements. Together, let's navigate the ever-evolving landscape of Manhattan's luxury real estate market with confidence and success.

PS - Until next week, may your real estate dreams and goals become a reality!