The Pulse - Manhattan Luxury Market 5/14/24

Manhattan Luxury Real Estate Market Update: Surge in $4M+ Contracts by 33%!

The Manhattan luxury real estate market experienced a remarkable 33% surge in contracts last week, signaling robust activity in the $4M and over segment. Welcome to this edition of the Pulse, your trusted source for the latest market data, insights, and expert advice.

Key Takeaways from Last Week's Manhattan Luxury Real Estate Market:

• Contracts Signed: 36 contracts were signed last week, an impressive 80% over the healthy market benchmark of 20 contracts. However, compared to May of last year, year-to-date contracts are down 15.6%.
• Inventory Trends: Inventory decreased by 15% from the previous week and is down 9% this May compared to the same period last year.
• Market Pulse: The current market pulse is slightly higher for the $10M and over segment compared to the $5M to $10M range, with both hovering near the neutral balanced market zone.
• Market Leaders: Condos led the market with a 56% share. Downtown maintained its leadership with a 42% market share, while the Upper East Side came in a strong second with a 33% share.
• New Developments: New developments made up 41% of the market, highlighting the ongoing trend of buyers favoring new or renovated properties.
• Ultra Luxury Market: The $10M and over segment was particularly strong, capturing a 31% market share.
• Mortgage Rates: Mortgage rates fell for the first time in five weeks, with the average dropping from 7.22% to 7.09%. This week, the Fed will closely monitor the latest consumer price index, a key inflation indicator.

Top Luxury Condo Contracts in Manhattan: See All 36 Contracts

#1- 157 West 57 #86 - New development condo asking $38.5M, 4 bedrooms, 4.5 baths, 6,250 square feet, $6,160 psf, 68 days on the market.

#2- The Centrale, 138 E 50 #PH70 - New development condo asking $24.95M, 5 beds, 5.5 baths, 5,388 sq ft, $4,630 psf.

Expert Advice for Manhattan Real Estate Sellers:

Sellers: Take advantage of the 33% surge in contracts and list your property now to maximize your selling potential before the summer slowdown. With the high selling season in full swing, this is your optimal time to get a deal done. Keep in mind that the fall market may be unpredictable due to the upcoming presidential election, which typically slows down market activity before picking up post-election. If the Fed cuts rates in September, market activity could receive an additional boost.

Buyers: Looking for the perfect deal? Summer is an ideal time to negotiate on properties that have been on the market for 100 days or more. Sellers tend to be more flexible during this period. With rental prices high in April, many buyers are waiting for mortgage rates to drop. However, prices may increase when rates do go down due to pent-up demand. Consider financing now and refinancing later when rates drop to take advantage of current market pricing. Need some advice navigating this market or have questions? Contact me here.

Conclusion and Further Assistance:

The Manhattan luxury market is showing strong signs of activity, making it an exciting time for both buyers and sellers. Stay ahead of market trends and make informed decisions with the Pulse. Have feedback, real estate questions, or need a custom market report? I'm here to help! Contact me today to get personalized insights and advice tailored to your needs.