The Real Deal New York

Manhattan sales continue to slide in Q2

It’s the third consecutive decline
By Meenal Vamburkar | July 03, 2018 07:00AM

(Credit: Douglas Elliman)

Sales are still falling in Manhattan.

The number of residential property trades saw a 16.6 percent year-over-year decrease in the second quarter, according to Douglas Elliman’s latest market report. That marks the third consecutive decline.

“The market has reset from the levels we saw in 2017,” said Jonathan Miller, CEO of appraisal firm Miller Samuel and the author of the report. “Sales are still off, and overall price trends are off.”

At the same time, the median sales price dipped 7.5 percent to $1.1 million. Over time, sellers have become more realistic about “aspirational pricing” that’s plagued the high-end market, Miller said. But there are “still plenty that aren’t.”

Part of the drag is coming from the slowdown in the new development market, where the median sales price dropped to $2.7 million, 19 percent less than a year earlier. Meanwhile, active listing inventory ticked up 0.8 percent.

“It just shows you sales volume has corrected and we’re seeing inventory expand,” Miller said.

In a separate report, Halstead noted that there were 12 percent fewer closings in the second quarter than a year ago. Resale apartments sold for the highest discounts off asking prices in over five years.

Sales and prices decreased in the Northern Manhattan market, too. The median sales price fell 9.1 percent for condos and co-ops and 8.6 percent for townhouses.