Photo: Robert Clark
Manhattan home sales weren’t quite a turkey in November, but a hearty helping of tryptophan may have been enough to send buyers into a “holiday lull.”
Sales fell to their lowest level in over six months likely due to a combination of buyers being preoccupied with the Thanksgiving holiday and a usual post-summer buying season respite. That’s according to a report released last week by the listing site CityRealty.com.
Over the last month, the number of sales dropped from 924 to 809 in November, the fewest since April.
The “November lull” is certainly not a new trend — in 2016, the fewest sales in any month were recorded in November. And although that wasn’t the case in 2015, there were fewer sales than most other months that year — as was also the case in 2014.
“I don’t think it necessarily says anything about the market that there were far fewer sales — usually we have to wait and see if it’s a trend that continues over a few months before drawing conclusions,” CityRealty.com’s Director of Research Gabby Warshawer tells BuzzBuzzNews.
Some 396 condos and 413 co-ops were sold in November. Sales volume dropped from $1.8 billion to $1.6 billion in November.
Meantime, the average price of a Manhattan apartment, including both co-ops and condos, rose to $2 million in November, up from $1.9 million recorded the previous month.
Manhattan condos sold for an average of $2.6 million in November, down slightly from $2.7 million recorded in October. At the same time, co-ops averaged $1.4 million, up $200,000 from the previous month.
And in December, sales in Manhattan’s luxury submarket — or units that sold for $2,000 per square foot and above — declined to the lowest level recorded in the last six months. The number of contracts signed fell sharply from 76 in November to 60 in December.
Sales volume fell drastically from $504 million to $434 million in December.
December’s top sale was a unit in One57, which sold for $36.7 million. Interestingly, the same unit sold for $51 million in 2014, “representing a huge drop in value” over the course of just three years. However, there’s more to that sale than meets the eye and it may not be a reason to panic just yet.
“It’s a really odd case — it was a foreclosure sale of a unit owned by a Nigerian oil tycoon. It’s super-rare to see foreclosure sales at a price point like this,” Warshawer tells BuzzBuzzNews.
And while December’s top luxury sale doesn’t say very much about Manhattan’s housing market overall, it clearly indicates that units in One57 are “not faring well from a pricing standpoint on the resale market as they did just a few years ago,” Warshaw adds.
Click here to read the entire report.