4Q21 Manhattan Market Report | Bells On!
After things were seemingly back to normal thanks to the vaccines, new COVID variants brought a fresh wave of uncertainty. Nevertheless, once again New York City has proved its resilience, and Manhattan real estate is breaking records. Despite a 16-year high in new listings, supply was overpowered by demand not seen in over 30 years. We are in a solid sellers’ market (with a few exceptions). These competitive, high-velocity markets provide sellers with a perfect environment for unearthing maximum sales price.
2021 sales volume totaled $30 billion, 6% higher than the 2007 record
4Q21 sales volume (3559) doubled Y-O-Y and was the highest since 1989
The $4M+ luxury market had 1877 contracts signed: 300% more than 2020 and double 2019
400 of these were $10M+–also shattering the previous record of 270 in 2013
Median price rose 11% YOY; pricing is largely back to pre-COVID levels (~2019)
December inventory is just 4.5 months’ supply: down from 17.6 months Y-O-Y
An anticipated robust bonus season and the continued return of the international community should provide fuel for the Spring market. Despite strong conditions for sellers, there are still opportunities for buyers: prices are below their last peak, interest rates are still attractive, and additionally several Manhattan markets are trending toward buyers. Market timing is difficult: determine when trading into or out of real estate moves you toward your personal goals, and then do it at optimal market valuation.
