NEW YORK CITY—Thanks to an all-time high $11 billion in residential sales in Brooklyn, the home sales market in New York City last year reached a new record at $50 billion, according to the Real Estate Board of New York. This despite a recent sharp decline in luxury home sales in the city.
REBNY in its year-end residential sales report notes that fourth quarter 2017 sales activity citywide in cooperatives, condominiums, and one-to-three-family dwellings ranging from $1 million to less than $3 million rose 10% as compared to the same period a year earlier. The number of home sales recorded for properties in the $5-million or greater price range plummeted 38% in Q4 '17 as compared to 12 months earlier.
“The high end of the New York City home sales market slowed this quarter in comparison to past quarters,” says REBNY president John H. Banks. “Average sales price growth in areas outside Manhattan offset this decline and led to year-over-year stability in the average sales price for a home in New York City.”
Total residential sales consideration increased in three of the five boroughs during Q4 when compared to the fourth quarter of 2017. Total residential sales consideration increased 4% to $2.40 billion in Brooklyn; 12% to $2.35 billion in Queens and 17% to $455 million in the Bronx. Total consideration fell 12% to $4.79 billion in Manhattan and 4% to $675 million in Staten Island.
In terms of home sales value and sales volume, performance was mixed in the five boroughs, although Manhattan suffered declines in both sales volume and pricing in the fourth quarter, according to the REBNY report.
The overall average sales price for a home in New York City fell 1% year-over-year to $917,000 inQ4. The average sales price of a home in Manhattan declined 7% from Q4 2016's average to $1,803,000. When compared to Q4 '16, the average sales price of a home in Brooklyn rose 5% to $901,000; Queens' home sale average sale price grew 11% to $595,000; in the Bronx the average sale price increased 7% to $422,000; and in Staten Island the average price rose 8% to $524,000.
For Q4 '17, the average sales price of a New York City condominium unit fell 14% to $1,573,000; for a cooperative unit the average price increased 5% to $739,000; and the one-to-three family dwelling average sale price increased 8% to $775,000 from 2016's fourth quarter average.
Citywide home sales volume fell 2% over a 12-month period to 11,631 in Q4 '17. Year-over-year, the total number of home sales declined 5% to 2,655 in Manhattan; 1% to 2,665 in Brooklyn and 11% to 1,289 in Staten Island. On the positive side of the ledger, home sales increased 1% in Q4 '17 to 3,943 in Queens and 10% to 1,079 sales in the Bronx.
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John Jordan
John Jordan is a veteran journalist with 36 years of print and digital media experience.
