“The Manhattan market is off to an exceptional start in 2025. For the fourth time in two decades, all key demand indicators have improved in the first quarter, with sales surging 14% and sales volume skyrocketing to over $6 billion. Prices are on the rise, driven by strong demand and a shrinking inventory, particularly in the luxury sector. Additionally, resale condo prices hit record highs, and despite fewer new listings, deal activity remains robust. It’s clear that Manhattan’s market is not just holding steady — it’s thriving.”

– Pamela Liebman, Corcoran President & CEO

The Manhattan market had a promising start to the year. Despite hesitations around demand and the economy due to a constant cycle of breaking news, Manhattan experienced stronger sales, lower supply, and shorter marketing times than last year.

• For just the fourth time in 20 years, all key demand indicators improved in the first quarter of 2025.
• The number of closings surged 14% to nearly 2,700 sales – the greatest annual percentage gain in three years.
• Sales volume grew 39% YOY to $6.05B because of the rising prices in the market.
• Signed contracts rose annually for the fourth consecutive quarter, up 3% to 2,934, just below the ten-year first-quarter average of 3,000 contracts.

Manhattan prices are now squarely improving because of growing demand, shrinking inventory, and a robust luxury market.

• Median price rose 12% YOY to $1.175M, as closing activity shifted to larger apartments and more expensive submarkets.
• First Quarter 2025 was just the third time in a decade – and first time since mortgage rates spiked in 2022 – that price statistics were higher than the year before for the Manhattan market overall and for each product type.
• Resale condo price figures hit record highs, with median price rising 18% YOY to $1.595M.

Inventory continued to decline as the higher number of sales combined with fewer newer listings. First Quarter 2025 had the second lowest first quarter for Manhattan in 9 years.

• As of mid-March, about 6,200 listings were active, a 1% annual drop.
• New listings fell YOY to an 11-year low (excluding 2020) of just 4,529, approximately 12% fewer than a typical first quarter.
• Annual shifts in inventory differed by price: homes listed under $2M experienced a 5% YOY increase in inventory and less contract activity, while listed inventory over $5M fell 9%, but had robust deal activity.