Elegran Manhattan Market Update: April 2021
March 2021 sets a record for the most contracts signed in a month in Manhattan since March 2007, and is the second highest month on record since 2004. Monthly new supply also hit a decade high. Given the robust buyer demand, and despite ample new supply coming to market, Manhattan is nearly a seller’s market again and the median sales price has increased from COVID lows last summer.
A few of the key market takeaways include:
Buyers: Manhattan is becoming a sellers market again and competition is increasing with buyers feeling an increased sense of urgency as inventory is being quickly snapped up.
Sellers: While Manhattan is verging on seller’s market territory, sellers still need to price correctly in order to be competitive in the market and attract buyers.
Contracts Signed: Demand was universal in March. Every category saw a double-digit percentage increase in contract activity compared to February and a triple-digit percentage increase compared to 2020.
Pricing & Discounts: In Manhattan, the median listing discount was fairly consistent across the neighborhoods. Upper Manhattan had the lowest discount of 6%, the Upper West Side and Downtown had a median discount of 8% and The Upper East Side and Midtown had a 9% discount.
Luxury Market: In March, 83% more contracts were signed for homes $10M+ compared to February, and 42% more contracts were signed for homes priced $2-$5M
Rental Market: The rental market continues to rebound with overall supply trending downwards. While leasing activity is increasing some landlords are warehousing inventory, waiting to bring it to market in the summer months.
Investors: Encouraged by the rebounding sales and rental markets, investors are returning to the Manhattan market with potential for asset appreciation in the near-term.
To read the full Elegran Manhattan Market Report HERE.