A Shifting Market – Manhattan and Brooklyn Real Estate Update

As we end April, the Manhattan and Brooklyn real estate markets are showing signs of change. Here’s a detailed look at what’s been happening:

 

Manhattan Market Overview

Supply and Demand Dynamics:

Supply in Manhattan decreased by 2.5% for the month as of April 29th, while liquidity fell by 3.0%. This slight down-tick in supply comes amid a drop in demand following the recent holiday season. The key question now is whether this slowdown marks a new trend influenced by broader economic uncertainties.

 

Price Trends:

March saw Manhattan reach a record high resale condo price per square foot at $1,494. However, with recent economic shifts impacting buyer behavior, sellers are faced with the challenge of pricing amidst conflicting real-time and lagging data. Pricing data is based on contracts signed 2-3 months ago. This complexity underscores the importance of navigating market nuances for both buyers and sellers.

 

Brooklyn Market Insights

Recent Activity:

Brooklyn experienced a slight decline in supply by 3% coupled with a solid 6.9% increase in demand. Despite the broader economic concerns affecting neighboring Manhattan, Brooklyn recorded 170 deals last week, marking a strong performance for a month in 2025.   Brooklyn’s liquidity increased 7.8% month over month.

 

Price Adjustments:

March data for Brooklyn’s resale condo prices remain relatively flat post early-year deals, contrasting with Manhattan’s upward trend. This divergence highlights the confusing time for buyers and sellers.

 

Macro Insights and Market Strategies

Economic Context:

The real estate market faces a period of confusion with varying impacts on pricing and liquidity.

Strategies for Buyers and Sellers:

For sellers, the optimal time to list may be within the next six weeks as the spring market comes to an end from late May to early June. Understanding current price per square foot dynamics and adjusting expectations based on evolving market conditions will be crucial. 

The Optimal Time to List chart shows the historical volume of signed contracts for each month, highlighting market seasonality. Months with the highest deal volume indicate increased buyer competition and optimal times to list properties for sale.

Buyers, on the other hand, may find opportunities in the summer months as sellers navigate seasonal adjustments.

Listing Price Discount to Days on Market

 

Looking Ahead:

As we navigate through the remaining weeks of spring, both buyers and sellers should stay informed about shifting market dynamics. Whether in Manhattan or Brooklyn, adapting to real-time data and anticipating seasonal fluctuations will be key to making informed decisions in the current real estate landscape.

In conclusion, while uncertainties persist, strategic insights and a nuanced understanding of local market trends will guide stakeholders towards successful outcomes in the evolving New York City real estate market.

For more detailed insights and personalized advice, feel free to reach out. Stay tuned for further updates as we navigate the complexities of the spring market.