NEW YORK, NY - Stribling & Associates, New York’s premier residential brokerage, today releases the second half 2017 townhouse sales report. The report, which covers 1-3 family home sales in Manhattan and Northwest Brooklyn, showcased a market with increasing sales, albeit at lower price points.
“For much of the year, we saw the 1-3 family market take a hit,” said Garrett Derderian, Director of Data & Reporting at Stribling. “The more expensive markets, including the Upper East Side and Downtown areas, felt increasing pressure resulting in not only lower prices, but reduced volume in terms of total dollars.” Derderian cited a yearly reduction of 16% in sales volume in the Upper East Side and 37% slide Downtown.
“When you look at the average asking price of available inventory compared to the average price of properties sold, the differences are astronomical. Market-wide, the average sales price is 59% lower than the average price of listed homes, while the average PPSF is 32% lower,” he highlighted.
The report noted that while high-priced properties have stalled, emerging areas continued to grow. The sub-$4 million townhome market remained strong in the second half of the year. Northwest Brooklyn, where the average sales price is just over $3.3 million, accounted for two-thirds of all sales and half the total dollar volume for townhouses sold in the second half of 2017. Likewise, Upper Manhattan, where the average price is just over $3.1 million, saw an 11% increase in sales volume, despite a 12% drop in number of sales.
Derderian also pointed to contracts signed in the second half of the year, “When looking year-over-year, contract price metrics are up overall, while the average days on market is down.” Derderian indicated this could be indicative of a thaw in the market overall. “If properties are priced appropriately, they should sell.” However, he cautioned, “It is important to look at each market and price point individually, as the more expensive areas will continue to see a slowdown until the market strikes a balance.”
As for a forecast of 2018, Derderian offered, “There are several factors at play when assessing the townhouse market. Buyers in this price range have a plethora of options, not only among townhomes, but new developments as well. Still, we saw record-setting townhouse deals in 2017, which could provide more confidence going forward. If sellers are willing to meet the market, townhomes will continue to trade hands in the year ahead.”
Highlights from Stribling & Associates 2H 2017 Townhouse Report:
- There were 288 townhomes on the market, an 18% increase from one year ago
- There were 102 properties in contract, a 6% yearly increase
- There were 226 home sales, up 9% year-over-year
- The average listing price fell 10% to $10,923,974
- The average sales price fell 7% to $4,446,812
- Both the average list PPSF and sale PPSF fell 8%
- Total days on market dropped 18% to 136
- Listing dollar volume increased 6% to $3.1B
- Sales volume increased 1% to just over $1B
Submarket Highlights:
- The Upper East Side average sales price declined 16% to $8,257,250 and the median sale price fell 13% to $6,900,000
- Upper East Side days on market increased 87% to 293 days
- The Upper West Side saw a 28% increase in active inventory, and a 17% decrease in number of sales year-over-year
- Midtown East had an average asking price decline of 13% to $10,352,714
- Midtown East days on market increased 49% to 127 days
- Downtown saw 35% less home sales and a 37% drop in sales volume
- Down had a 28% increase in available homes, with a 24% increase in total volume
- Upper Manhattan recorded sale price gains across all metrics, with the average price increasing 26% to $3,147,682 and media sales price up 23% to $3,015,000
- Upper Manhattan days on market dropped 53% to 86 days
- Northwest Brooklyn saw a 22% increase in sales and a 28% increase in sales volume
- Northwest Brooklyn saw a 7% increase in contracts signed and a 28% drop in days on market
About Stribling & Associates
Stribling & Associate s, Ltd. is a premier residential real estate firm with over 300 agents throughout three locations in Manhattan and one in Brooklyn. As one of the most renowned brokerages in New York, Stribling uses its respected expertise in the current market to provide individualized services to both buyer and sellers. Stribling agents specialize in the sale of luxury townhouses and cooperative and condominium apartments. The company’s philosophy is based on professional, personalized services coupled with exceptional knowledge of key residential market trends. Stribling Private Brokerage specializes in the discreet marketing of properties over $5 million and commands a prominent market share in that sector of Manhattan residential real estate. Through strategic partnerships with Miami’s Cervera and international estate services firm Savills, Stribling’s global reach extends to more than 700 offices worldwide.