While less so than the heated market a year ago, luxury listings are still receiving most of their initial asking price. With the stock market’s rebound this year and strong economic data indicating lower risk of a recession in the US, wealthy buyers - likely including many international buyers - are increasingly looking past the risk of entering the market at the wrong time. The low share of discounts in July suggests sellers are still seeing interested buyers in the market, and the decline in sales compared to a year ago will likely be short-lived. Discounts are hard to find with only 5.2% of luxury listings lowering asking prices in July this year, compared to 7.3% in July 2022. That said, the slowdown will likely be temporary. Across the city, 89 luxury listings entered contract, a far more modest number compared to 114 in July 2022. While lower than a year ago by 16%, 382 contracts is a substantial recovery from the second half of 2022, when 283 contracts were signed in Q3 and 239 in Q4 - the slowest quarter since 2020.Īfter a strong Q2, luxury sales took a pause in July. In Q2 2023, 382 listings on StreetEasy above this threshold entered contract, a solid increase of 29.9% from Q1 2023. The starting price of the luxury market was $4.5M in July this year, 12.5% higher than $3.999M a year ago and 14.8% higher than $3.92M in July 2019. Asking prices are rising even faster in the priciest segment of the market, redefining the threshold for what’s considered luxury real estate in New York Created with Sketch.ġ Despite Summer Slowdown, Luxury Sellers Maintain the Upper HandĪt StreetEasy, we define the luxury market as the top 10% of for-sale listings in each month. This is 11.3% higher than a year ago and 8.8% higher than July 2019, before the pandemic market disruption. In July, the median asking price of all for-sale listings was $1.08M, unchanged from June. With resilient buyer demand and limited inventory, sellers remain in the driver’s seat and asking prices will likely rise throughout 2023. While modest compared to the overheated market last year, the current market is simmering with buyers with higher budgets competing for declining new listing inventory. This follows a 2.2% year-over-year increase in June.Īs StreetEasy predicted a year ago, the city’s housing market avoided a crash despite higher mortgage rates pushing many would-be buyers to the sidelines. In July, 2,002 listings on StreetEasy entered contract, up 4.3% from a year ago. Despite the typical seasonal slowdown, StreetEasy® data shows the number of listings entering contract is rising compared to last year. The New York City housing market was slow in July as more New Yorkers continued their summer travels.
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