“The Manhattan market came roaring back to life in the fourth quarter, fueled by a dip in mortgage rates and renewed confidence following the election. Buyers came off the sidelines driving a 3% year-over-year increase in sales and a remarkable 22% jump in signed contracts, one of the biggest annual gains in over a decade. Average price climbed nearly 3%, driven by an uptick in high-end sales, while resale condos also saw a boost due to stronger demand for larger units.

The surge in buyer confidence has tightened inventory, with active listings down 8% annually, to only 5,900 this quarter. Looking ahead to 2025, I’m confident the market’s momentum will continue, particularly at the high end. With demand starting to chip away at supply, this is the ideal time to buy.”

– Pamela Liebman, Corcoran President & CEO

The Manhattan market roared back to life in the Fourth Quarter of 2024. Lower prices, a dip in mortgage rates, and a bullish economy caused sales to surge.

• The number of sales rose 3% annually to 2,686 closings, but the major difference was in signed contracts, which jumped 22% YOY, the fourth most significant annual gains since 2012.
• Sales volume was up 6% YOY to $5.55 billion because of higher sales and an uptick in average price.
• Stronger demand and lower inventory have led to quicker marketing times with days on market down 1% versus a year ago.

Better value has been the most important contributor the rebound in demand, and in the Fourth Quarter of 2024, average and median price per square foot fell YOY — down 2% to $1,811 and 5% to $1,275, respectively.

• Median price fell annually to $1.100M, the lowest fourth-quarter figure in five years, due to growth in the market share of smaller apartments versus a year ago.
• However, average price increased annually for the first and only time this year, up less than 3% to $2.066M. This uptick was driven by a marginally higher number of sales over $5M this quarter as well as a few signature sales over $50M, such as the 520 Park penthouse closing.
• Resale condo median price rose 3% annually to $1.400M, because of more two- and three-bedroom sales than a year ago.

In Fourth Quarter 2024, the below-average quarter for new listings combined with strong contract activity and very few new development introductions to drive active listings to their lowest fourth-quarter figure in nine years.

• Listed inventory fell 8% YOY, as only 5,900 listings were active in mid-December.
• Inventory fell by varying amounts depending on price point: the market under $1M fell 3% annually, homes listed between $1M and $5M saw a 9% YOY drop in listed inventory, and the market over $5M saw listed inventory drop 14% versus a year ago.
• Resale co-ops accounted for under 47% of Manhattan’s active listings this quarter, their lowest market share since Third Quarter 2020.