The Pulse - Manhattan Luxury Market 6/26/24

Manhattan's Luxury Market Shows Resilience Despite Decreased Inventory! In this week’s edition of the Pulse, we delve into the latest trends and data in the Manhattan luxury market. Let's explore last week's key highlights:

Key Takeaways

Contracts Signed:

• 29 contracts were signed last week, reflecting a 17% decrease from the 35 contracts signed the prior week. However, June contract numbers remain consistent with last June’s figures for the same period.

Inventory:

• Noteworthy update: 45 new listings entered the market last week, a 30% decline from the previous week. Overall, June listings are down 14% compared to last June. While contract numbers remain steady, the reduced inventory makes this June stronger than last.

Market Segments:

• Condos dominated the market, accounting for 69% of contracts signed last week.

Neighborhoods:

• Downtown continued its reign with a 48% market share, followed by the Upper West Side at 21%.

New Development and High-End Market:

• New developments captured a strong 21% of the market. Similarly, the $10M and over segment also secured a 21% share.

Market Pulse:

• The market Pulse index rose by 0.8% from last month and has increased by 1.2% year-to-date. Currently, the market is in a neutral range, neither favoring buyers nor sellers.

Discount Trends:

• The median discount on last week’s listings was 5.6%.

Macro Economic News

Economists predict a rate cut of 25 basis points in September. If realized, this could trigger a very active fall season, driven by pent-up demand from buyers currently on the sidelines.

Ultra Luxury Market News

Sales in the ultra-luxury segment for 2024 are projected to match or surpass 2023 levels. Specifically, sales of homes priced at $100M or higher are expected to double the 2023 total, potentially setting a new record. Notably, an over $100M penthouse at Central Park Tower, 217 West 57th Street, closed last week, marking the 6th sale in Manhattan over $100M.

Luxury Lifestyle News

You spent $6,000 on a secondhand Chanel bag. Discover places to verify its authenticity! [WSJ Article]

Top 2 Contracts of the Week - See all 29 contracts ( photos & details)

#1 Beresford, 211 Central Park West, 19D/20D

• Co-op
• Asking Price: $19.5M
• 5 Bedrooms, 5.5 Baths, 4,400 sq. ft.
• $4,431 per sq. ft.
• Features: Central Park views, south-facing terrace, requires combining two apartments. On the market for 125 days.

#2- 505 West 19th Street, #PH1

• Condo
• Asking Price: $17.5M
• 4 Bedrooms, 4.5 Baths, 5,622 sq. ft.
• $3,312 per sq. ft.
• Resale, on the market for 72 days.

Advice for Sellers and Buyers

Sellers:

As we approach the final week before the seasonal slowdown, if your property has been on the market for 30 days with little activity, consider a price reduction to generate interest. Potential buyers may be waiting for a price drop before scheduling showings.

Buyers:

The summer slowdown is an opportune time to negotiate deals on properties that have lingered on the market for 100 days or more. With reduced competition, it’s a prime time to make your move.

Wrap Up

Stay tuned for more updates and insights in next week's Pulse Manhattan Luxury Market Report. The Manhattan luxury market continues to show resilience, providing ample opportunities for both buyers and sellers. Don't miss out on the latest trends and valuable advice to help you navigate this dynamic market. Share the Pulse with others. Subscribe to my YouTube channel to watch my advice on real estate advice videos and luxury property tours.

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