Welcome to this week's edition of The Pulse, where we explore the latest developments in Manhattan's luxury real estate market. With a dynamic landscape continually evolving, it's essential to stay informed on the trends and insights that can shape your real estate strategies. Let's delve into the significant shifts and trends that have emerged this week
This Week's Key Takeaways:
#1-Condo Market Continues to Shine- Condos remained dominant, claiming a remarkable 70% market share last week, underscoring their continued appeal in the luxury segment.
#2- A Shift in Geographical DemanAn unusual yet notable trend emerged with the Upper East Side tying with Downtown, each securing 7 contracts. This shift indicates a diversified interest across Manhattan's neighborhoods.
#3- Resale Properties Take the Lead -Resale properties held a substantial majority with 19 contracts, representing an 83% market share, signaling strong buyer interest in established properties.
#4- Significant Discounts- Nearly half of the contracts (48%) were closed at a discount, with a median of 9%, suggesting room for negotiation in the current market.
Time of Contracts -It's crucial to remember that offers are typically made 2-3 weeks before a contract is signed. Therefore, while recent contract numbers provide near-real-time transaction data, the deals were likely initiated weeks earlier.
Co-op Market Resurgence: Exciting news for luxury co-op owners: Douglas Elliman has reported a surge in contracts for Upper East Side and Upper West Side co-ops, particularly from Park to Fifth Avenue. Buyers are increasingly attracted to these properties for their prime location and potential value compared to luxury condominiums.
Foreign Buyer Influence- Currently, foreign buyers constitute 10% of the market, down from pre-pandemic levels. Their anticipated return could tighten the new development condo market, especially with a constrained supply pipeline.
Top 2 Contracts of the Week: VIEW ALL 23 CONTRACTS HERE!
118 W 12th Street Townhouse:
- Asking Price: $19.95M
- Details: A luxurious 6,600 sq. ft. townhouse with 5 bedrooms, 3.5 baths, priced at $3,022 psf
135 E 79th Street #PH17W:
- Asking Price: $19.9M
- Details: A sought-after 5,325 sq. ft. resale condo with 5 bedrooms, 5.5 baths, boasting interiors by renowned designer William Sofield, priced at $3,737 psf.
Tips for Sellers:
With the Thanksgiving to mid-January slowdown approaching, it's a critical time for sellers. If a contract hasn't been secured, consider implementing an aggressive marketing strategy to attract interest. For properties on Park to Fifth Avenue, particularly those needing renovation, attractive pricing is key to capturing buyer attention. If no contract is signed by Thanksgiving, pausing the listing until mid-January could be a strategic move to avoid accruing days on the market during a slower period. "If your property is awaiting the right buyer or you're planning to sell, let's discuss innovative strategies for a successful sale. Contact me for a tailored approach."
Tips for Buyers:
Buyers currently have leverage in the market, but the extent depends on the specific submarket of interest. Seeking expert guidance is crucial to navigating the market effectively and securing the best possible deal. "Embark on your Manhattan home search with expert guidance. Reach out for personalized insights and let's find your perfect match in this complex market."
This edition of The Pulse provides a comprehensive snapshot of the current state of Manhattan's luxury real estate market. For both buyers and sellers, understanding these trends and adapting strategies accordingly is essential for success in this dynamic market.Stay tuned for next week's update, where we'll continue to provide the latest insights and advice for navigating the Manhattan luxury real estate landscape. "If your property is awaiting the right buyer or you're planning to sell, let's discuss innovative strategies for a successful sale. Contact me for a tailored approach."
Douglas Elliman- Associate Broker
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