Half the year has gone by, but the demand for new homes coupled with strengthening economic gains continues to fuel real estate activity in New York City. This leads to additional transactions for this year with Brooklyn and Queens dominating the residential sales market for the second quarter of 2017, according to the Real Estate Board of New York’s latest report.
While overall NYC residential sales increased by 15% year over year, Queens rose to the top for this period with a 17% yearly boost in the number of closed sales. Brooklyn trails closely behind with a 15% growth. Together, these numbers surpass Manhattan’s sales performance which only peaked up by an estimated 6%.
Sales prices, however, tell a different story. Manhattan remains the most expensive out of the five boroughs, boasting a median price of $1.115 million—5% higher compared to last year. Additionally, despite the lower sales lift, Manhattan’s sales alone contributed to half of the $13.4 billion in total dollar sales volume for this quarter.
Price shares among the boroughs may eventually change, though, given that other areas of New York continue to gain more value. Citywide, median sales prices rose by 8% to $630,000 while median prices in Queens jumped by 7% to $481,000.
Brooklyn, however, may be Manhattan’s biggest contender in terms of dollar contributions. In recent years, Brooklyn continues to reach new records with this quarter’s median price hitting $775,000—a major escalation by 17%. This is especially fueled by high bidding wars among buyers as demand is starting to outweigh current inventory supply. At the same time, continuing developments promises both quality living and further increases in property value, making now the most optimal time to enter into transactions.