- Hudson Yards & TriBeCa stay costliest NYC neighborhoods at $5.73M and $3.73M, respectively
- Brooklyn claims its first-ever high 3 place with Vinegar Hill at $2.6M
- The Bronx marks historic first look amongst NYC’s high 50 priciest neighborhoods as Fieldston median surges 149% Y-o-Y
- NYC median sale value drops by $58,000 Y-o-Y as market continues to chill
- Citywide gross sales decelerate 35% whereas 46 of NYC’s priciest neighborhoods log declines
- 31 neighborhoods publish medians of $1M and above — two fewer than in Q1 2022
- Manhattan median drops $94K Y-o-Y to shut Q1 at $1,066,000
- Brooklyn marks sharpest gross sales deceleration as transactional exercise slows 42% Y-o-Y
- Down 72% Y-o-Y, Queens’ Ditmars-Steinway claims most drastic lower in neighborhood-level transactional exercise
The New York Metropolis actual property market continued to chill all through the primary three months of the 12 months with each gross sales and medians trending decidedly down. Extra exactly, NYC’s median sale value rested at $695,000 on the finish of March, coming in $55,000 decrease than the earlier quarter and $75,000 beneath its historic pricing peak in Q2 2021. The variety of gross sales, nevertheless, contracted at a fair sharper price: The town noticed 35% fewer residential offers than throughout the identical interval final 12 months, with practically 3,500 fewer dwelling gross sales inked within the first quarter of the 12 months.
Q1 2023 Marks 2 Historic Firsts for NYC’s 50 Most Costly Neighborhoods
The 53 neighborhoods that made our high 50 (the results of plenty of ties) have been comprised of twenty-two Manhattan neighborhoods, 22 Brooklyn communities, eight places from Queens and the very first Bronx neighborhood to land among the many metropolis’s most unique. And, though gross sales dropped considerably throughout the 4 boroughs and contracted in 46 of town’s 50 costliest neighborhoods — along with medians dropping in 27 of town’s high neighborhoods — the primary quarter of 2023 additionally marked two historic firsts.
Particularly, for the primary time ever, Brooklyn grabbed a spot among the many metropolis’s high three costliest neighborhoods with Vinegar Hill’s $2.6 million median. Much more exceptional was the historic first look of the Bronx among the many high 50 priciest NYC neighborhoods with Fieldston touchdown at #41 after the neighborhood’s median surged 149%. Right here, the median sale value jumped from $338,000 in Q1 2022 to $840,000 in Q1 2023. Consequently, that lifted the Bronx neighborhood 99 positions among the many metropolis’s priciest, rising from #140 to #41.
With that surge, Fieldston (and the Bronx) claimed the sharpest value improve among the many metropolis’s main neighborhoods. Notably, the exceptional climb was the results of a big change within the property varieties bought: In Q1 2022, 87% of gross sales have been co-ops and seven% single household properties. However, within the first quarter of this 12 months, single household properties represented 54% of transactions, with co-ops making up 46% of offers.
Discover the interactive map beneath for at-a-glance value and gross sales insights for NYC’s neighborhoods in Q1 2023:
Prime 10 Most Costly NYC Neighborhoods: Vinegar Hill Ranks as #3 Priciest Neighborhood as SoHo Market Hits Brakes
The town’s high 10 costliest neighborhoods have been represented by a well-recognized mixture of seven Manhattan and three Brooklyn neighborhoods, all of which noticed gross sales decelerate.
Hudson Yards continued because the #1 costliest NYC neighborhood with a $5,729,000 median sale value — the results of a 6% year-over-year (Y-o-Y) value improve that lifted its median by $324,000. Gross sales, nevertheless, dropped 67%. In actual fact, Hudson Yards closed solely eight gross sales within the first quarter of the 12 months. However NYC’s latest neighborhood wasn’t alone in destructive gross sales development: All the metropolis’s 10 costliest neighborhoods logged important value drops between 30% and 67%.
Nonetheless the #2 priciest neighborhood in NYC — TriBeCa posted a $3.5 million median sale value within the first quarter of 2023. That marked a 6% contraction in comparison with year-ago figures for a $225,000 lower within the neighborhood’s median. Moreover, gross sales right here slowed 65% Y-o-Y, going from 111 offers in Q1 2022 to only 39 transactions in Q1 2023. In consequence, TriBeCa had the fifth-sharpest drop in gross sales among the many metropolis’s priciest neighborhoods, whereas Hudson Yards tied with Queens’ Contemporary Meadows for the fourth-sharpest lower.
The #3 costliest neighborhood in Q1 2023 was Brooklyn’s Vinegar Hill, marking the primary time ever {that a} Brooklyn neighborhood ranked among the many three richest neighborhoods in NYC.
At #4, SoHo was the one different NYC neighborhood with a median north of $2 million. Particularly, SoHo closed the primary quarter of the 12 months at $2.2 million following a 35% Y-o-Y drop — the second-sharpest value contraction among the many metropolis’s richest neighborhoods. On this case, the lower stemmed from the change in property varieties bought in Q1 2023 versus the identical interval final 12 months.
Specifically, co-ops — a property sort that’s normally lower-priced than apartment items — represented one-third of SoHo’s transactions final 12 months however made up 68% of its first-quarter gross sales this 12 months, thereby contributing considerably to the neighborhood’s $1.2 million median lower.
Equally, the Flatiron District noticed its gross sales halved, going from 141 offers final 12 months to 75 in Q1 2023. NYC’s #5 priciest neighborhood slipped beneath the $2 million threshold following a 7% Y-o-Y value contraction, which introduced it to $1.95 million on the finish of March.
On the similar time, Hudson Sq. held onto #6 regardless of a 19% contraction in its median sale value, which took it from greater than $2 million right down to $1,195,000. This gave Hudson Sq. the fourth-sharpest value drop among the many metropolis’s richest neighborhoods. On the similar time, gross sales within the neighborhood have been lower than half of year-ago ranges.
In the meantime, after resting at #22 in Q1 2022, the Theatre District-Occasions Sq. space surged again into the highest 10 following a 54% value increase that lifted its median to $1.9 million. That acquire improve was closely influenced by the typical dimension of properties bought, which grew by nearly 400 sq. ft to greater than 2,000 sq. ft. It’s value noting right here that the Theatre District-Occasions Sq. space additionally had the second-largest improve in pricing among the many richest NYC neighborhoods.
Together with Hudson Yards and the Theatre District-Occasions Sq. space, DUMBO (#8), Carroll Gardens (#9) and Central Midtown (#10) all logged optimistic value tendencies, as effectively. Particularly, Manhattan’s Central Midtown rose 21 positions, due to a 41% Y-o-Y value leap — the fifth sharpest among the many metropolis’s high 50 neighborhoods. It closed the primary quarter with a $1.55 million median, partly because of the bigger share of condos traded in Q1 2023 versus Q1 2022.
Brooklyn Makes Prime 3 for 1st Time Ever with Vinegar Hill’s $2.6 Million Median
Recurrently the costliest neighborhood within the borough, Vinegar Hill introduced the first-ever top-three positions to Brooklyn. Its document $2.6 million median was closely influenced by three gross sales at 288 Water St. — an eight-unit, ultra-boutique condominium venture with high-end facilities.
Nonetheless, it should be famous that Vinegar Hill simply barely made the highest 50 after having closed simply 5 gross sales (the minimal gross sales threshold wanted for figuring out correct metrics). Usually talking, gross sales in Vinegar Hill are inclined to fluctuate closely from quarter to quarter.
DUMBO and Carroll Gardens have been the borough’s two different neighborhoods to rank among the many metropolis’s 10 priciest. Brooklyn’s second- and third-most costly neighborhoods each logged 11% Y-o-Y value good points, pushing DUMBO’s median up by $175,000 to $1,796,000, whereas Carroll Gardens’ median gained $171,000 to succeed in $1.71 million.
Two extra Brooklyn neighborhoods additionally stood out by way of pricing, in addition to gross sales tendencies: Cobble Hill logged the sharpest drop in median sale value among the many richest neighborhoods in NYC, falling 58% Y-o-Y and going from #5 priciest in NYC to #25. This got here after its median dropped to $1,128,000 on the finish of Q1 2023, depreciating by $1.58 million.
Plus, Cobble Hill additionally claimed the second-largest slowdown in gross sales among the many metropolis’s 50 costliest neighborhoods as gross sales decelerated by 71%, going from 28 transactions in Q1 2022 to only eight offers in Q1 2023. Furthermore, this lower in gross sales was paired with a mixture of lower-priced gross sales: Extra exactly, 82% of final 12 months’s first-quarter gross sales surpassed $1 million, whereas solely 32% did within the first three months of 2023. Moreover, no new buildings got here on-line to carry Cobble Hill gross sales and costs.
Conversely, the Prospect Heights-Lefferts Gardens space had the biggest improve in gross sales among the many metropolis’s priciest neighborhoods, doubling its transactional exercise year-over-year from simply 10 offers to twenty. What’s extra, the Prospect Heights-Lefferts Gardens space additionally claimed the third-largest median sale value improve, rising 51% Y-o-Y.
In consequence, the realm reached a median sale value of $810,000 and went from #109 final 12 months to #46 this 12 months. On this case too, the neighborhood’s pricing surge was influenced by the totally different mixture of property varieties bought: In Q1 2022, 60% have been co-op gross sales, whereas solely 25% of offers focused co-ops in Q1 2023.
Queens Claims Sharpest Drop in Gross sales with Ditmars-Steinway’s 72% Plunge
Typically a value chief within the borough, Hunters Level was once more the #1 costliest neighborhood in Queens, posting a $1,098,000 median on the finish of March. Whereas its median remained nearly unchanged from year-ago figures (reducing by a negligible $4,000), Hunters Level closed 39% fewer gross sales.
Nonetheless, that lower was far surpassed by the 72% drop in gross sales numbers recorded in Ditmars-Steinway, marking probably the most important slowdown in transactional exercise among the many metropolis’s 50 priciest neighborhoods. That was closely influenced by the actual fact that there have been no new buildings that launched gross sales in Q1 2023, versus Q1 2022, when 64% of gross sales originated on the high-end Rowan constructing.
One among simply two neighborhoods with medians above $1 million in Queens, Ditmars-Steinway was additionally the borough’s #2 costliest neighborhood. That was the results of a 29% Y-o-Y value improve that lifted its median from $815,000 to $1.05 million.
However Ditmars wasn’t the one neighborhood within the borough to face out by way of gross sales slowdowns: Queens claimed three of the 5 most vital downshifts in transactional exercise amongst NYC’s richest neighborhoods. Particularly, Auburndale’s 68% drop was the third sharpest among the many priciest NYC neighborhoods, whereas Contemporary Meadows’ 67% was fourth (tied with Hudson Yards).
Likewise, Contemporary Meadows was additionally the borough’s fourth-priciest neighborhood at $889,000, whereas Queensboro Hill was third at $920,000 and Rockwood Park fifth with an $889,000 median. Queens additionally closed out the checklist of NYC’s high 50 costliest neighborhoods with three entries: Hollis Hills (#48), Auburndale (#49) and Jamaica Estates (#50). Jamaica Estates’ $770,000 median sale value was significantly notable resulting from the truth that the determine was 6% decrease than Q1 2022’s #50, which stood at $815,000.
Borough Metrics Pattern Firmly Down as NYC Market Cooldown Continues in Q1 2023
NYC’s cooling residential market was exemplified not solely by the downshifts noticed inside its 50 costliest neighborhoods however on the borough degree as effectively. In actual fact, each gross sales and pricing metrics trended down throughout the 4 boroughs, with the median sale costs of each Queens and the Bronx declining 9% Y-o-Y. Queens closed the primary quarter of the 12 months at $520,000, $49,000 beneath year-ago figures, whereas the Bronx stabilized at $306,000 following a $29,000 decline.
Though value decreases in Brooklyn and Manhattan have been decrease on a proportion foundation, Brooklyn’s 5% dip introduced the borough’s median down by $40,000 to $750,000 on the finish of Q1. The Manhattan median got here in 8% beneath year-ago figures, leading to a $94,000 drop that minimize the island’s median sale value to $1,066,000.
Whereas value contractions within the 4 boroughs stayed in single digit territory, gross sales have been slashed by at the very least 19% Y-o-Y. To be exact, the Bronx underwent the least drastic transactional slowdown among the many 4 boroughs at 19% Y-o-Y, leading to 426 offers in Q1 of this 12 months, 99 fewer than throughout the identical timeframe final 12 months.
On the similar time, Queens closed 800 fewer offers, posting a 28% Y-o-Y lower in gross sales, adopted by Manhattan’s 39% drop which slashed the borough’s gross sales market by practically 1,500 offers. Brooklyn had the sharpest gross sales downshift on a proportion foundation, closing 42% (or 1,050) fewer offers in Q1 2023 than in Q1 2022.
With borough-wide metrics trending down for the fourth consecutive quarter — and at more and more sharp charges — the NYC actual property market is anticipated to stall within the close to future.
For extra info, discover New York Metropolis’s 50 costliest neighborhoods in Q1 2023 within the interactive desk beneath:
Methodology
Median sale costs have been calculated based mostly on closed residential property gross sales recorded in ACRIS between January 1 and March 31, 2022, and January 1 and March 31, 2023. Residential asset varieties included have been single household properties, condos and co-ops. Bundle offers have been excluded.
Median sale costs have been calculated just for neighborhoods that recorded at the very least 5 gross sales between January 1 and March 31, 2023. Yr-over-year modifications in median sale costs or the variety of gross sales have been calculated just for neighborhoods that additionally recorded a minimal of 5 gross sales between January 1 and March 31, 2022. Moreover, median sale costs have been rounded to the closest $1,000.
The boundaries of some Manhattan neighborhoods might range as information on a number of small neighborhoods is included in stats for bigger areas. For instance, Central Park South is included within the Theatre District-Occasions Sq. space; NoLita is included in Little Italy; NoHo is included in Greenwich Village; and Carnegie Hill, Lenox Hill and Yorkville are all included within the Higher East Aspect.