Sales in Brooklyn and Queens are falling, but prices aren’t: Elliman

Q4 sees record highs in Queens, amid signs that the market is slowing

New York /
Jan.January 10, 2019 09:35 AM

(Credit: Douglas Elliman)

Sellers in Brooklyn and Queens aren’t budging, even as a cascade of new product enters the market.

“The pattern is falling sales, record prices and rising inventory,” said Jonathan Miller, CEO of appraisal firm Miller Samuel and author of the Douglas Elliman report.

In Brooklyn, the average sales price fell slightly from an all-time high of over $1 million in the third quarter to around $998,000 in the fourth quarter. This was still the second-highest average sales price on record, according to Miller. In the luxury market, median sales price were up 1.3 percent from the same time last year, hitting $2.43 million.

The priciest area was Northwest Brooklyn, where average sales price is up 16.4 percent over last year, at $1.6 million.

As prices remain near record levels, sales are falling. Sales were down in Brooklyn for the fourth consecutive quarter year-over-year. In Williamsburg and Greenpoint sales fell by almost 25 percent over the fourth quarter of 2017.

Miller said sales had been affected by the continuation of patterns seen throughout 2018: uncertainty around the new tax law, an increase in inventory and higher interest rates. He said general economic uncertainty was weakening the housing market.

(Credit: Douglas Elliman)

“When consumers are confused, they pause,” Miller said.

As sales fell, inventory in Brooklyn shot up nearly 75 percent from the same time in 2017. But it’s not necessarily a cause for concern Miller says, because last year saw chronically low inventory.

“Even with this increase in inventory, the pace of the market is still very brisk,” Miller said, “It’s distorted by the low point it came from.”

The new figures show Brooklyn properties spent less time on the market, down to 78 days from 92 days at the same time last year.

In Queens, records were broken as the average sale price reached an all-time high of $637,000. But sales fell there too, down 11.5 percent from the previous quarter.

Inventory also rose in Queens for the seventh consecutive quarter year-over-year.

“Queens is still benefiting from the Brooklyn spillover” said Miller, “But Brooklyn is starting to see sales decline and so is Queens.”

The same patterns were evident in Riverdale, which includes Fieldston, Hudson Hill, North Riverdale and Spuyten Duyvil. Average sales price increased 6.4 percent to nearly $441,000, while sales fell 23 percent from last year.


Related Articles

arrow_forward_ios
John Giannone and Jac Credaroli (Credit: iStock)
Two Elliman agents launch platform to provide renters, buyers and sellers up to $50K in unsecured loans
Two Elliman agents launch platform to provide renters, buyers and sellers up to $50K in unsecured loans
Jacob Sudhoff and Scott Durkin (Credit: Sudhoff Companies, Emily Assiran, iStock)
Douglas Elliman is coming to Texas
Douglas Elliman is coming to Texas
Douglas Elliman chairman Howard Lorber (Credit: Getty Images and iStock)
Elliman’s revenue rose 18%, after sales frenzy to avoid New York’s new transfer tax
Elliman’s revenue rose 18%, after sales frenzy to avoid New York’s new transfer tax
Tyler Whitman, licensed real estate salesperson, The Whitman Team @ Triplemint; and 43 Garden Street (Corcoran, Triplemint, iStock)
“Million Dollar Listing” star buys instead of selling
“Million Dollar Listing” star buys instead of selling
Tamir Shemesh & Ryan Serhant (Getty Images, Serhant)
Top broker Tamir Shemesh joining Serhant
Top broker Tamir Shemesh joining Serhant
(iStock/Illustration by Kevin Rebong for The Real Deal)
East End homebuyers face tightest market ever
East End homebuyers face tightest market ever
Gary Beasley, chief executive officer and co-founder, Roofstock (Roofstock, iStock)
Roofstock ramps up iBuying, even with tenants in place
Roofstock ramps up iBuying, even with tenants in place
Sam Zell with a RVC Outdoor Destinations site (Getty, RVC)
Sam Zell’s Equity Lifestyle Properties invests $147M in manufactured homes
Sam Zell’s Equity Lifestyle Properties invests $147M in manufactured homes
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...