Warmer Weather Sparks Increase in Contract Activity and Positive Sentiment
The Elegran | Forbes Global Properties NYC Consumer Sentiment Index saw a notable improvement, rising from -16 to -5 during the past week, reflecting a -5% decrease in current consumer sentiment compared to the pre-pandemic average (spanning from January 5, 2015, and February 29, 2020).
Manhattan and Brooklyn experienced a 20% increase in the number of contracts signed this week compared to last week, aligning more closely with seasonal trends. The stock market hitting all-time highs, continued positive economic reports, and improved inflation statistics have bolstered confidence amongst buyers and sellers. This renewed optimism sets the stage for an influx of buyers into the real estate market, especially as mortgage interest rates drop.
On the supply side, Manhattan welcomed more new properties to the market this week, while Brooklyn experienced a slight decrease in new listings compared to the previous week. Despite a marginal overall increase in supply for both boroughs, market segments can still feel highly competitive due to heightened buyer demand.
Manhattan Supply
As we would expect from analyzing the repetitive pattern of the chart below, supply will grow for the next few months as we near the spring listing season. This week, 281 new listings came to market, bringing the total supply to 5,861 units for sale in Manhattan.
Brooklyn Supply
As we would expect from analyzing the repetitive pattern of the chart below, supply will grow for the next few months as we near spring listing season. This week, 146 new listings came to market, bringing the total supply to 2,895 units for sale in Brooklyn.
Manhattan Pending Sales
Pending sales decreased this week to 2,377 units. Expect pending sales to stay relatively flat for the next few weeks and increase as we near Spring.
Brooklyn Pending Sales
Pending sales declined again this week to 1,721 units. However, the metric should stay relatively flat through the remainder of the Winter season.
Manhattan Consumer Sentiment
This week, Manhattan’s score on the Elegran | Forbes Global Properties Manhattan Consumer Sentiment Index increased from -27 to -18, as 162 contracts were signed this week compared to 136 last week.
Brooklyn Consumer Sentiment
This week, Brooklyn’s score on the Elegran | Forbes Global Properties Brooklyn Consumer Sentiment Index (below) increased from +18 to +34, as 101 contracts were signed this week versus 83 last week.
New Development Insights
Marketproof reported that 44 new development contracts were signed in 32 buildings this week. The following buildings were the top-selling new developments of the week:
- The Huron (Greenpoint) and Brooklyn Tower (Downtown Brooklyn) each reported 3 contracts.
- Skyline Tower (LIC) reported 3 contracts, and Archive Lofts (Lenox Hill) each reported 2 contracts.
