An island unto itself, indeed. Reports from Elliman, Corcoran, and Halstead showed a wide range of numbers, but they all had one thing in common, they were up significantly. Average prices according to Elliman were up 37% percent to over $1.4Mil (including large sales at 15 CPW and The Plaza). Median prices jumped between 6% an 15% according to the 3 different brokers. Other numbers of interest included an inventory drop of 13.5% compared to last year and homes sat on the market an average of 18 days less to 84 days.
The cheap dollar, relatively low rates, and low inventory have been major drivers for the New York market. While most brokers are calling for a flat year in 2008, this broker believes we will see 7-10% price appreciation. Looking forward, fed funds rate will likely fall another 1%-1.5% to aid an ailing US economy. This move in the fed funds rate will result in lower mortgage rates and an even cheaper dollar, which will in turn keep the positive trends in place for the New York market.
Manhattan Defies Slump (NY Post)
Apartment Prices Defy National Slide (NY Times)