NEW YORK, NY - There were tiny glimmers of hope over the last quarter for a turn toward balance, with time on the market increasing to 83 days from 79 and discount to last asking price increasing to 1.6% from 1.5%. Year-over-year the market continued to perform very strongly despite the average price for an apartment declining 2% to $1.55M, as the decline was solely due to the proliferation of high-end sales in 4Q12 due to the tax laws changing.
The average co-op price dropped 18% to $1.12M; the high-end co-op market was most heavily sold in 4Q12. Condo prices rose 14.9% to an average of $2.16M ($1562/SF)-all categories of condos were up with 2BDs posting the highest gains at 19.7%.
Although building permits are slowly increasing, the sum of units filed between 2009-2013 still barely exceeds the number brought to market in 2008 alone. As a result of this persistent low inventory environment, Manhattan absorption rate remains very low at 3.1 months.
For more details, please see the comprehensive BHS Fourth Quarter Market Report.
About Julia Hoagland
Julia Hoagland and the Modern Luxury Living Partnership (MLLP) are known for being innovative and creative thinkers who bring expertise to the Manhattan marketplace through comprehensive data collection and analysis, market research and a gift for interpretation. MLLP sales performance has positioned them in the top 5% of the firm with recognition for 'Most New Deals' in February, May, June, August and October of 2013.