If You Can't Afford Brooklyn, Move To Manhattan
Manhattan has long been home to one of the world’s most high-priced and competitive real estate markets, a status in which the borough takes pride. However, in its own backyard, it has been forced to face a fierce competitor, Brooklyn.
Manhattan’s luxury market sales slow down and inventory stays up while the high-end market in Brooklyn remains “very robust”. As bidding wars take over Brooklyn, a 24 percent rise in inventory over $2 million is recorded. In October, 43 contracts were signed for condos, co-ops, and townhouses in Brooklyn—each for $2 million or more. Brooklyn Heights took the wheel with an average asking price of $3.8 million, and $26.6 million in total sales.
Even the cheapest Brooklyn Heights properties are less affordable than those in some of Manhattan’s most prestigious neighborhoods. The Heights’ top 10 affordable properties are co-ops, ranging from $575,000 to $699,000, based on a study conducted by NeighborhoodX. Meanwhile, the most affordable properties in the Upper East Side begin from $399,000 and stop at $539,000. Other Brooklyn neighborhoods like Cobble Hill and Caroll Gardens also start in the high $500,000.
Brooklyn’s real estate value has grown considerably in recent decades. During the third quarter of 2016, the median price of all Brooklyn apartment sales was $675,000, the highest figure seen in over eight years. The median Brooklyn sale price grew 13 percent year-over-year compared to Manhattan’s 10 percent.
Recently, due to the ever-surging prices in Brooklyn, many people have been surprised to find that they can get a better deal in Manhattan. When marketing director Eric Kabakoff and his partner Christina Lewandowski couldn’t afford a two-bedroom condo in Gowanus, Brooklyn, they got a two-bedroom co-op in Carnegie Hill, Upper East Side and saved a few thousand dollars in the process.
“Brooklyn real estate prices have become so high that parts of Manhattan are starting to look like bargains,” Kabakoff told the New York Times.