In this episode, expert NYC real estate brokers John Gasdaska and Jonathan Conlon review Corcoran’s November 2023 Manhattan Real Estate Market Report and give their analysis.
Here’s the short version:
In November 2023, 719 contracts were signed in Manhattan, a decrease of -14% month-to-month and -10% year-to-year. Inventory decreased in November as well, with 6,475 active listings representing a -1% drop month-to-month and a -5% drop year-to-year. Days on Market remained consistent at 125 in November 2023, a 0% change month-to-month and +4% increase year-to-year.
High interest rates, world events, and a steeper year-over-year decline during Thanksgiving were the key contributors to the annual drop in contracts signed. But our analysis reveals that we might experience a reversal in these trends! Read on to dig deeper into these statistics and learn what they mean for your household.
As always, there’s more to the story. Here’s our full November 2023 Manhattan Real Estate Market Report Analysis:
November 2023 Manhattan Real Estate Market Report Analysis
719 contracts were signed in Manhattan in November 2023, a decrease of -14% month-to-month and -10% year-to-year. This was the lowest number of contracts signed in Manhattan for any November since 2008.
Year-to-year changes in contract activity varied by price point and submarket. The $2M-$3M and $5M+ markets both increased in contracts signed versus a year ago, which we attribute to the liquidity high-end buyers typically enjoy no matter the state of the market.
Every other price point and submarket decreased from year-to-year. While there is a seasonal aspect to the slowdown in contract activity due to the Thanksgiving holiday, headwinds caused by inflation, interest rates, and stale inventory are also to blame.
As of recording in mid-December 2023, interest rates have plateaued, inflation is trending down, and buyers are beginning to pick up the pace of showings. We are hopeful that this indicates a flurry of activity in Spring 2024, when the holidays are over and more sellers and buyers typically enter the market.
Corcoran has amended inventory in Manhattan in October 2023, making November’s 6,475 active listings a -1% drop month-to-month and a -5% drop year-to-year. November 2023 marked the lowest number of active listings out of any November since 2017.
Once again the $5M+ categories were the exception to this rule. They experienced a +4% increase in active listings year-to-year. As we stated previously, this is largely due to the fact that New Yorkers in these markets are less influenced by the ups and downs of interest rates and inflation and tend to trade when they are ready.
The inventory that is on the market is rather limited to properties which need renovation or aren’t in hot locations. Sellers who enjoy updated apartments in stellar locations are extremely well positioned in this market, as are buyers who aren’t afraid of renovations. Reach out to us if you fall into one of those groups!
Days on Market
Days on Market remained consistent at 125 in November 2023. That represents a 0% change month-to-month and +4% increase year-to-year. As usual, this statistic is the most nebulous, as there are so many mitigating factors that contribute to it. In general, we are pleased with this statistic remaining steady, as that can indicate some stability in the real estate market in Manhattan.
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Why We Host This Podcast:
We have been in this business long enough to know that knowledge is power. That’s why we conduct an in-depth analysis of the Manhattan real estate market every month, quarter, and year and provide an easy-to-understand synopsis of the full report in several different formats – all so you can stay informed.
Our team of experienced real estate professionals closely monitors market trends and provides our clients with the latest and most relevant information available. With this information, our clients are able to make informed decisions about buying and selling properties in Manhattan, which helps them stay ahead of the curve and make the most of their real estate investments.
Understanding the trends and changes in the market can help you make informed decisions. You gain insights into supply and demand, pricing, and market conditions that can influence the value of your property. Just by being aware of market trends and conditions, you’re better off than most other buyers and sellers, and you can make strategic moves that can lead to a successful real estate transaction.
If you’re considering buying or selling a Manhattan property, now is the time to take action. Our team of expert real estate agents and brokers can help guide you through this market, leveraging our extensive knowledge and experience to help you make informed decisions.
So, why wait? Reach out to us today and let us help you achieve your real estate goals!
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