No, Brooklyn is not more expensive than Manhattan—but it's getting closer
We've heard anecdotally from several real estate industry people that the days of 20-plus bids on Brooklyn apartments seem to be behind us for now. While there's no doubt that the market is healthy, some say it's leveling off a bit from those craziest days. But it may take a while for the data to reflect that, as is clear from this quarter's round of market reports.
"A lot of price records are being broken," says Jonathan Miller, author of the Douglas Elliman Brooklyn report that's out today. Miller says he doesn't expect Brooklyn sales prices to surpass Manhattan anytime soon, but the gap is, indeed, getting smaller. The difference between median Manhattan and Brooklyn prices during the third quarter of 2008 was $418,000; now it's $321,000.
And Brooklyn, Miller says, is the only borough that has a median price higher than its pre-financial crisis record. Inventory has declined by 13. 6 percent, which isn't historically low, but is much lower than it was five years ago. "Sales are strong and inventory is weak, and so the response is rising prices and hitting records," says Miller.
Here are the numbers from various brokerage reports out today, and under those, three apartments we found that fall within in the median range—just in case you want to buy a place before the prices climb even higher.
Median sales price: $676,250 a 15.1 percent year-over-year increase (record)
Median co-op sales price: $395,000, a 21.5 percent year-over-year increase
Median condo sales price: $760,000, a 6.2 percent year-over-year increase
Average sales price: $856,839,an 8.7 percent year over year increase
Number of days on the market: 55, a 24.7 percent drop (fastest time in eight years)
Median sales price: $570,880
Average sales price: $732,363
Median sales price for one-to four-family houses: $760,000, a 13 percent increase
Average sales price for one-to four-family houses: $964,175 (record)
Median sales price: $623,000, a 28 percent year-over-year increase
Average sales price: $767,000, a 26 percent year over year increase
Available inventory: 2,101 units, a 7 percent year-over-year decrease
Average apartment sales price: $732,363, up 17 percent (record)
Median apartment sales price: $570,880 (record)
Average sales price for 1-4 family houses: $964,175 (record)
This $620,000 two-bedroom two-bath in Bay Ridge/Sunset Park comes with parking, and is an elevator, doorman building.
This 637-square-foot pet-friendly $660,000 one-bedroom condo in Williamsburg includes a major perk: No taxes for the first three years if you sign your contract in October. The apartment is in an eight-unit elevator building.
For $649,000, you can nab this two-bedroom, one-bath top-floor co-op in Sunset Park. The building has an elevator, laundry and its own courtyard.
Related:
More and more homes are being sold before they ever go on the market
Get psyched for winter: rents will probably go down (a bit)
Feeling priced out of the city? Here's what to expect in the 'burbs
What you can buy in Upper Manhattan, where prices are catching up with the rest of the borough
