NEW YORK, March 25, 2016 /PRNewswire/ --
Key facts for February
2016:
- Resale prices in the East Brooklyn submarket grew 20.5 percent,
more than triple the Brooklyn pace
and the largest annual increase across Manhattan and Brooklyn
- Manhattan saw the slowest pace
of growth since October 2012, with
the median resale price increasing 4.4 percent from last year.
- The median resale price of Manhattan luxury homes fell 0.1 percent from
last year to $3,224,589 in February,
the only segment of the market to experience a decline in
prices
- Sales price growth will continue to slow. According to the
StreetEasy Price Forecast, the median resale price in Manhattan is expected to grow only 3.2 percent
over the next 12 months, and by less than one percent in
Brooklyn.
After years of surging prices, the Manhattan sales market is returning to a more
stable rate of growth, according to the February 2016 StreetEasy® Market
Reportsi. The median resale price in Manhattan rose just 4.4 percent in February to
$982,437, the slowest pace of growth
since October 2012ii.
While the Upper Manhattan submarket continued to see
double-digit increases, rising 10.4 percent from last year, it was
the East Brooklyn submarket that saw the biggest annual increase in
sale prices. Resale prices grew 20.5 percent year-over-year to
$473,095 in February, more than three
times faster than Brooklyn as a
whole. Brooklyn's median resale
price rose 6.9 percent from last year to $539,300.
"Affordability is primarily driving homebuyers to East Brooklyn
and Upper Manhattan," says StreetEasy data scientist Alan
Lightfeldt. "New demand for housing in these parts of the city is a
double-edged sword, however. As more buyers search for value in
neighborhoods like Bedford-Stuyvesant and Central Harlem, we're going to
see prices increase. Heading into the Spring buying season,
prospective buyers should expect to encounter fierce competition
for dwindling inventory in East Brooklyn and Upper Manhattan."
Leading the market slowdown is Manhattan's luxury market, which continues to
adjust to waning demand against the influx of new development units
that have come to market over the past two years. The median resale
price of Manhattan luxury homes
fell 0.1 percent from last year to $3,224,589 in February; the luxury tier was the
only segment of the market to experience a decline in annual price
growthiii.
Over the next 12 months, the Manhattan median resale price is expected to
grow by a mere 3.2 percent, according to the StreetEasy Price
Forecastiv. In Brooklyn, the median resale price is expected
to grow by less than one percent. This predicted slowdown is
particularly notable in the Upper Manhattan and Northwest Brooklyn submarkets, as Upper
Manhattan prices are projected to grow at only half the rate of
last year, while negative price growth is predicted in Northwest Brooklyn.
The complete StreetEasy Market Reports for Manhattan and Brooklyn with additional analysis,
neighborhood data and graphics can be viewed at
streeteasy.com/blog/market-reports.
Submarket
Name
|
Feb. 2016
StreetEasy Price
Index
|
Annual
Change
|
Manhattan
|
$982,437
|
4.4%
|
Downtown
|
$1,229,427
|
4.3%
|
Midtown
|
$834,005
|
1.3%
|
Upper West
Side
|
$1,089,186
|
6.6%
|
Upper East
Side
|
$970,191
|
3.6%
|
Upper
Manhattan
|
$628,217
|
10.4%
|
Brooklyn
|
$539,300
|
6.9%
|
North
Brooklyn
|
$896,493
|
4.7%
|
Northwest
Brooklyn
|
$784,263
|
2.3%
|
Prospect
Park
|
$803,248
|
8.7%
|
South
Brooklyn
|
$405,285
|
9.4%
|
East
Brooklyn
|
$473,095
|
20.5%
|
About StreetEasy:
StreetEasy is New York
City's leading local real estate marketplace on mobile and the
Web, providing accurate and comprehensive for-sale and for-rent
listings from hundreds of real estate brokerages
throughout New York City and the
major NYC metropolitan area. StreetEasy adds layers of
proprietary data and useful search tools to help home shoppers and
real estate professionals navigate the complex real estate markets
within the five boroughs of New York City, as well
as Northern New Jersey and the Hamptons.
Launched in 2006, StreetEasy is based in the Flatiron
neighborhood of Manhattan. StreetEasy is owned and operated by
Zillow Group (NASDAQ: Z and ZG).
StreetEasy is a registered trademark of Zillow, Inc.
i The StreetEasy Market Reports are a monthly
overview of the Manhattan and
Brooklyn sales and rental markets.
Every three months, a quarterly analysis is published. The report
data is aggregated from public recorded sales and listings data
from real estate brokerages that provide comprehensive coverage of
Manhattan and Brooklyn, with most metrics dating back to
1995 in Manhattan and 2005 in
Brooklyn. The reports are compiled
by the StreetEasy Research team. For more information, visit
http://streeteasy.com/blog/market-reports/. StreetEasy tracks data
for all five boroughs within New York
City, but currently only produces reports for Manhattan and Brooklyn.
ii Median resale prices are measured by the StreetEasy
Price Indices. Also referred to as the StreetEasy Manhattan Price
Index (MPI) and StreetEasy Brooklyn Price Index (BPI), the metrics
are monthly indices that track changes in resale prices of condo,
co-op, and townhouse units. Each index uses a repeat-sales method
of comparing the sales prices of the same properties since
January 1995 in Manhattan and January
2005 in Brooklyn. Given
this methodology, each Index accurately captures the change in home
prices by controlling for the varying composition of homes sold in
a given month. Data on sales of homes is sourced from the New York
City Department of Finance. Full methodology here:
http://streeteasy.com/blog/methodology-streeteasy-price-indices/
iii StreetEasy defines Manhattan luxury homes by separating the
StreetEasy Price Index into five price quintiles, or price buckets.
The top quintile of recorded sales prices represents the luxury
tier, with a price floor of $2.95
million in February 2016.
iv The Manhattan Price Forecast and the Brooklyn Price
Forecast predict the change in resale prices 12 months out from the
current reported period. Each forecast incorporates the Price Index
for each borough as well as a mix of fundamental market factors
including: historical recorded sales price, household income,
population, and taxes.
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/east-brooklyn-sales-prices-growing-three-times-faster-than-brooklyn-300241341.html
SOURCE StreetEasy