Manhattan Real Estate Market Suffers Steep Decline in Q1

Manhattan's real estate market experienced a significant drop in sales in Q1 2023, with a 37.5% decrease from the same period last year, due to high mortgage rates and economic instability. However, prices have fallen by 15% to a median of $1.02 million, the lowest since the onset of the pandemic in 2020, which may attract more buyers. Sales under $1 million made up 50% of closings, while big-ticket homes priced at $10 million or more have suffered disproportionately. Pricey new developments, on the other hand, have shown robust activity. The exclusive segment of the market made up of homes priced at $20 million or more accounted for just under 1% of closings, but there were significantly more such homes sold, and their average price was 4.2% higher than at the same time last year.