-Housing prices continue to remain stable – the slight YOY dip in prices was caused by a large increase in 1-bedroom sales pulling the overall numbers down (mortgage rates driving the entry-market)
-Closed sales slipped 5% from last year but pendings jumped 4.9% ahead of last summer – 2011 had more written business in first half of year while 2012 had more momentum going through summer.
-Inventory fell 24.3% from last year to lowest level in 7.5 years. Low equity keeping many sellers from listing (those sellers can’t become buyers because of tight credit), election year paralysis and concern about direction of economy, Europe, Federal Reserve’s QE3.
-Condo price trends outpacing co-op price trends likely due to foreign buyer demand.
-Luxury market prices slipping as inventory edging higher – however there was a jump in 3-bedroom sales.
-New development sales market share at 17.8%, consistent with past several years.
-Manhattan remains one of the best housing markets in the US: employment rising, tight inventory and strong international demand – despite tight credit conditions.
Here’s an excerpt from the report:
…The Manhattan housing market showed seasonally stable pricing and sales activity. Smaller apartments continued to gain market share as mortgage rates continued to fall and city employment levels rose. The sharply declining listing inventory reached a 7.5-year low, while the monthly absorption rate demonstrated a brisk market pace as it reached a 5-year low. All price indicators posted modest year-overyear declines, as 1-bedroom apartments gained 5% market share to represent 37.8% of all sales, edging out the 2-bedroom market as the largest market segment. Median sales price was $890,000, down 2.3% from $911,333 a year ago. Average sales price and average price per square foot slipped 1.4% and 2.4% from the prior year quarter to $1,444,463 and $1,103 respectively. Year-to-date, median sales price remained unchanged from a year ago at $850,000, while average price per square foot increased 0.6%, further reflecting price stability in the overall market…
Here’s the press coverage for the report today.