June – 2024 Market Update

The LevinKong Team hopes you are doing well and enjoying the beginning of the season. Summer is upon us, and New Yorkers are taking full advantage of some of their favorite activities. Restaurants, entertainment venues, rooftops, parks, beaches, and all the perks our beloved city offers are in full swing.

We are still experiencing an incredibly segmented market. Buyers are taking their time and continuing to favor properties that require little or no work, reluctant to undertake the time and expense involved in upgrading dated properties. Throughout all price ranges, properties in poor condition remain the toughest sell. High-quality buildings and those in prime locations remain their preferred targets. Proper pricing is imperative to attract the smaller buyer pool in Manhattan while the Brooklyn market continues to run hot. Lower inventory levels and high demand are pushing many Brooklyn buyers to explore neighborhoods further South and East rather than the prime Northern and Western neighborhoods they initially desired.

Supply in Manhattan has remained relatively unchanged. However, pending sales activity is up 8.3% from the prior month and 17.6% from last year. This increased activity is more concentrated in entry-level and luxury property segments. The middle of the market is still somewhat constrained by the lack of movement from would-be home traders who are too comfortable with their current interest rates to make a change. The average price per square foot is down approximately 4% year-over-year, and the median sales price is down 1.5% marketwide.

In Brooklyn, supply remains incredibly tight, particularly in prime locales. Pending sales activity is up 8.8% from last month and 20.3% from last year. Here, we see price appreciation, with a 6% yearly increase. A silver lining has emerged for buyers in these tighter market segments. Recently, policy changes outlined in the New York Fiscal Year 2025 Budget will be implemented to incentivize developers to create more inventory.

With the LevinKong Team by your side, you can confidently navigate the dynamic and intricate real estate market. Our decades of experience and data-driven, research-based approach are your best tools for success in this environment. We’re here to maximize your goals, protect your investments, and are always available to answer any questions or concerns you may have about the market or complex decisions. Our commitment to your success is unwavering, and we are dedicated to supporting you every step of the way.