Manhattan Market Update, February 2019
Similar to last month, the condo and co-op markets performed very differently: condo sales again declined by double-digits while co-ops experienced another slight uptick in contracts signed.
Price statistics for condos largely responded to fewer sales at the very high end, forcing the average price downward while median price remained level. All pricing metrics for co-ops decreased as the share of sales shifted further in favor of homes under $1M. Average price per square foot fell for both condos and co-ops, declining among nearly all bedroom types. Listed inventory and average days on market universally increased and went hand-in-hand with a deepening of negotiability for both product types. The spread from last ask to sale increased year- over-year to over 4% for condos and nearly 3% for co-ops.
Condominium Market Snapshot
Condominium sales in February 2019 fell 14% year-over-year to reach the lowest February total since 2012. Price figures exhibited varied signals as the median price remained stable while average price dropped 14% annually. The average sale price of condominium sales declined largely because there were fewer sales over $10M versus last February. Average price per square foot figures mostly declined as well: the one and two bedrooms average fell 3% and 5%, respectively, versus last year; three bedroom average price per square foot fell 22% as this year’s highest priced sale was 40% less expensive than last year’s; the studio average price per square was alone in it's increase (but was statistically insignificant on account of small number of studio sales). Listed inventory rose for a 19th consecutive month, up 5% year-over-year to 3,770 active listings. As expected with the increase in supply and diminished demand, days on market rose 11% annually to 138 days on average. The difference from last ask to sale deepened by 0.3% from last year, averaging 4.7% below last ask price.
Cooperative Market Snapshot
Resale co-op contracts signed increased for a second consecutive month in February, up 3% annually. Co-op price statistics fell across the board versus last year with median price declining 14% while average price dropped 19% year-over-year. These decreases were exaggerated by a combination sale last year at 995 Fifth Avenue asking $29.75M, but also resulted from an increased market share of sales under $1M compared to last year, which drove pricing metrics down further. Average price per square foot figures fell 20%+ annually for all bedroom types except one bedrooms. Inventory rose year-over-year for the 21st consecutive month, up 14% to nearly 3,400 listings, the highest February total since 2012. Days on market rose 17% year-over-year as the market share of homes lingering for more than six months on the market neared 30%. Unsurprisingly, the difference from last ask to sale deepened by nearly 1% versus last year to an average of -2.8% off the last asking price.