Less is more: Small Manhattan condos, co-ops ruled in 2010s

Median sale price of studios rose 23%, but fell for four-bedrooms

TRD New York /
Jan.January 30, 2020 08:30 AM
(Credit: iStock)

(Credit: iStock)

Manhattan condos and co-ops sold in the past decade shrunk — literally — but the price of smaller units grew more than for large ones on a percentage basis.

The average Manhattan apartment sold between 2010 and 2019 was just under 1,135 square feet, the smallest in more than three decades, according to Douglas Elliman’s 10-year report on the Manhattan sales market. It was authored by appraiser Jonathan Miller of Miller Samuel and examines data recorded between 2010 to 2019.

Less was apparently more, however, when it came to prices. Median sales prices for studio apartments rose by about 23 percent over the 10-year period, while spacious four-bedrooms saw median prices slide by about 3 percent.

Sale prices for one- and two-bedroom apartments also grew over the decade, by 32.5 percent and 28 percent, respectively. Overall, the median sales price grew by 24 percent to just over $1 million.

Sales volume by dollar amount grew over the decade by nearly 32 percent, from $14.6 billion in 2010 to $19.3 billion in 2019.

Price gains came at the expense of deals. The decade’s most prolific year for co-op and condo sales was 2013, when 12,735 units changed hands, but the number fell to 10,048 last year, a 21 percent drop. The number of sales in that peak year was the second most on record after 2007, when 13,430 deals were done.

Steven James, Elliman’s New York CEO and president, said the drop in sales was expected, but he was surprised by the rise in demand for smaller apartments.

“I guess I thought it would be lower,” he admitted. “But the more I thought about it, it made perfect sense.”

He said the lower mortgage rates at the end of the decade accounted for the movement and demand for properties below $5 million. “That combination has worked well for entry-level [buyers],” he explained.

Condos and co-ops sold faster in 2019 than in 2010, as they spent an average of 101 days on the market, down from 119.

And, finally, listing inventory in 2019 was down more than 8 percent from the start of the decade. Last year, Miller logged 6,643 property listings compared with 7,232 in 2010.

Write to Erin Hudson at [email protected]


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
Single-family saves the day. Q3 resi sales up in South Florida

Single-family saves the day. Q3 resi sales up in South Florida

Single-family saves the day. Q3 resi sales up in South Florida
(Getty)

Brooklyn home sales fell at a record rate in Q3

Brooklyn home sales fell at a record rate in Q3
The vacancy rate hit 5.75 percent (iStock)

Rental listings in Manhattan hit 14-year high as vacancies soar

Rental listings in Manhattan hit 14-year high as vacancies soar
Ed D’Ambrosio (center) with Dottie Herman and Rory Golod (Elliman, Twitter)

O Brother, where art thou? Dottie Herman’s brother leaves for Compass

O Brother, where art thou? Dottie Herman’s brother leaves for Compass
(iStock)

Manhattan apartment vacancy smashes 5% barrier

Manhattan apartment vacancy smashes 5% barrier
arrow_forward_ios

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

Loading...