With Labor Day and the unofficial end of the summer real estate season upon us, new-to-market supply dropped to levels not seen since New Year's in Manhattan and Brooklyn. Buyers should expect a wave of new inventory to come to market immediately following Labor Day and sellers who are currently on the market will need to keep a close eye on the new inventory and adjust their price accordingly to remain relevant and visible to active buyers. Contract activity in Manhattan dropped 10% compared to the prior week, while contract activity in Brooklyn rebounded last week after an unusually quiet week prior.
Despite the slowing pace of the market, the Market Pulse in both boroughs remains relatively high due to the steady decrease in supply throughout the summer. With supply remaining tight, and several sellers taking their homes off the market, the market may feel more competitive than it truly is. Whether the market turns more buyer-friendly or seller-friendly will be dictated by how much new inventory comes to the market and how many buyers enter or return to the market in the fall.
Manhattan Supply
Decreased 2.3% this week to 6,544 units as 155 new listings came to market, which is 21% less than last week, and 10% less than the same week in 2019. Expect supply to increase in the next two weeks, immediately following Labor Day.
Brooklyn Supply
Decreased 1.7% to 3,284 units as 128 new listings came to market, 4% less than last week and 32% more than the same week in 2019.
Manhattan Pending Sales
Decreased 5% to 3,539 this week.
Chart courtesy of Urban Digs
Brooklyn Pending Sales
Decreased 5% to 2,482 this week.
Chart courtesy of Urban Digs
Manhattan Contracts Signed
159 contracts were signed this week. This represents a 10% decrease from last week and a 10% decrease from the same week in 2019.
Brooklyn Contracts Signed
163 contracts were signed this week. This represents a 36% increase from last week and a 32% increase from the same week in 2019.
New Development Insights
As reported by Marketproof, this week, 49 new development contracts were reported across 30 buildings. The following were the top-selling new developments of the week:
- The West in Clinton
- H7 in Midwood
- One Wall Street in the Financial District
- One Manhattan Square in Two Bridges
