Thanksgiving Week Expectedly Down; On Par With 2022
In this week's report, the real estate market in New York City showed trends consistent with 2022, amidst a seasonally expected downturn. The Elegran | Forbes Global Properties NYC Consumer Sentiment Index marked a score of -31 this week, closely aligning with the -28 score from Thanksgiving week last year.
Key market trends persist, with resale inventory continuing to attract more demand than new developments. Additionally, Brooklyn's real estate market remains stronger compared to Manhattan, echoing pre-pandemic patterns.
Manhattan Supply
As expected, supply reached the second peak of the year at the end of October and should continue to decline through the remainder of the year. Why is the supply count important? For many national markets, supply can become sparse enough to struggle to satisfy demand, and prices can rise substantially for this reason. But in NYC, there is far more supply than demand. This week, Manhattan’s ratio is 6,848 units of supply to 124 units of demand.
Manhattan Supply | Data courtesy of UrbanDigs
Brooklyn Supply
Brooklyn is following a similar trend. The metric is in decline as expected and will continue to recede for the remainder of 2023. The supply of 3,280 units significantly exceeded the current demand of 62 units this week.
Brooklyn Supply | Data courtesy of UrbanDigs
Manhattan Pending Sales
Pending sales in Manhattan have been stabilized for the past five weeks. There were 2,493 pending sales this week. However, a decline is expected soon as the winter season approaches.
Brooklyn Pending Sales
Mirroring Manhattan's trend, Brooklyn's 1,849 pending sales have been steady but are predicted to fall through the winter.
Manhattan Consumer Sentiment
The Elegran | Forbes Global Properties Manhattan Consumer Sentiment Index experienced an expected drop from -5 to -35 this holiday week. The borough's sentiment has fluctuated throughout the year, with roughly equal periods both above and below its benchmark. 124 contracts were signed this week compared to 181 last week.
Brooklyn Consumer Sentiment
In a similar vein, Brooklyn's sentiment on the Elegran | Forbes Global Properties Brooklyn Consumer Sentiment Index fell from +62 to -15 amidst the holiday week. 62 contracts were signed this week, versus 126 last week.
New Development Insights
Marketproof reported that 16 new development contracts were signed in 16 buildings this week. The following buildings were the top-selling new developments of the week:
- ONE HIGH LINE (West Chelsea) reported a contract on a unit listed for $6,710,000
- 2505 BROADWAY (Upper West Side) reported a contract on a unit priced at $5,495,000
