Manhattan’s single-family residential market remained steady in May with 218 market-rate sales, seeing no change from April. A year ago in May, sales totaled 627, showing a 65 percent decrease for the city. Transaction volume this month capped at $351 million, dropping only 1 percent from last month and 69 percent from a year ago at $1,131 million. The average sales price remained steady with a 2 percent decrease from last month and an 11 percent drop from a year ago. The average square footage increased 3 percent from both last month and a year ago, from 1,207 to 1,247 square feet this month. The average price per square foot also fell 6 percent in May to $1,183 and down 14 percent from a year ago at $1,381 per square foot.
| |
May 2008 |
Apirl 2009 |
May 2009 |
1 year
change |
1 month
change |
| Total Sales |
627 |
218 |
218 |
-65% |
0% |
| Volume |
$1,131 mil |
$356 mil |
$351 mil |
-69% |
-1% |
| Avg Price |
$1,803,147 |
$1,633,357 |
$1,608,577 |
-11% |
-2% |
| Avg sf |
1,207 sf |
1,208 sf |
1,247 sf |
+3% |
+3% |
| Avg $/sf |
$1,381 |
$1,253 |
$1,183 |
-14% |
-6% |
New York City was a latecomer in the real estate downturn that effected markets nationwide. While some industry analysts report a slowdown in the decline and single-family sales are up, Manhattan’s excess inventory, frozen credit resources, and declining property values have left the city with a slew of vacant new developments. Some developments still require additional funding, highlighting the large financial gap between lenders, developers and potential investors. As the national economy begins to show signs of recovery, the number of condominiums that must sell or convert to rentals only to break even in the interim is rising. The New York Building Congress also reported recently that total construction spending hit a record high in 2008 at $31.8 billion, up from $30.5 billion in 2007 and $26.6 billion in 2006. About $5.9 billion was spent on residential construction in 2008, down slightly from $6.1 billion in 2007.
Average apartment price in May 2009
One-bedrooms in Manhattan finished with 79 sales in May. Two-bedrooms received 63 sales; three-bedrooms ended with 29 sales; studios closed with 25; and units with four bedrooms or more ended with 22 sales. South of 14th Street exceeded total sales above other Manhattan neighborhoods this month with 43 sales. Midtown West received 41 sales; Upper East Side, 60 sales; Upper West Side, 35 sales; Midtown East, 30 sales; and North of 96th Street closed with as few as 9 sales. In May 2008, South of 14th Street finished with 116 sales; Midtown West finished with 143; Upper East Side, 73; Upper West Side, 164; Midtown East, 104; and North of 96th with 27 sales.