Manhattan's Residential market has ended 2024 with solid demand, with luxury leading the way. Sales in the three months through December rose by 3.7 percent to 2,496, according to a quarterly report from Douglas Elliman, prepared by Miller Samuel, which weighed co-op, condo, and luxury units.
While that marked a gain for the second time in three quarters, it was below the quarterly decade average of 2,611. That comes as listing inventories experienced a 3.9 percent decline.
Sales on properties greater than $5 million jumped 12.5 percent compared with 2023. Those lower than that threshold only increased by 3.1 percent.
Meanwhile, the average sales price in the market was $1.1 million, representing nearly a five percent drop from 2023 and the fourth straight annual decline. Douglas Elliman said that the dip was weighted down by co-op median sales falling to $795,000, down 7.6 percent, while the condos category saw a 0.5 percent gain. Luxury properties performed the best, generating an average sales price of $6.53 million, up 6.5 percent from 2023. Also, prices for new developments shot up by 20 percent to about $2.43 million.
"Part of the luxury price growth can be attributed to the 3.7% increase in average luxury sales size to 3,167 square feet, while the other 90% of the market experienced a slight decline of 0.4% to 1,015 square feet," Douglas Elliman wrote.
An interesting trend in the market that Douglas Elliman pointed out was less sellers cut their asking prices at least once (30.2 percent) compared with 31.3 percent in the previous year. Furthermore, four percent of listers hiked their asking prices, a 2.1 percent rise in 2024.
Also, even with interest rates spiking, financed acquisitions saw a 21.3 percent gain in 2024, while cash sales dipped 4.9 percent.