The new federal tax law and rising mortgage rates were among the factors that contributed to the decline of Manhattan co-op and condo sales year-over-year during the first quarter of 2018, according to the latest report released on Tuesday by real estate firm Douglas Elliman
According to Elliman's findings, the number of closed residential (both condo and co-op) sales in Manhattan for the first quarter of this year was 2,180, a drop of 24.6 percent from the same period last year. That represented the lowest sales quarter in over six years, and the biggest yearly decline in nine years, said Elliman. The average sales price dipped 8.1 percent to $1,933,198 year-over-year as well, while the median sales price fell 2 percent to $1,077,500. Overall inventory rose 4.4 percent.
“With falling sales and rising inventory, the pace of the market slowed,” said the report.
For Manhattan co-ops, the number of closed sales dropped 16.6 percent to 1,232, compared to the first quarter of 2017. The median sales price was $810,000, a gain of 4.5 percent, while the average sales price rose 9.6 percent to $1,361,409.
Condos in Manhattan have seen declines in average sales price, median sales price, and the number sales in first quarter 2018. About 948 properties were sold, a drop of 33 percent year-over-year. The median sales price fell about 1.3 percent to $1,628,279, and the average sales price plummeted by 10.9 percent to $2,676,281.