Brooklyn’s residential co-op and condominium market ended last year positively, sustaining the market’s expansion, although with a slowdown in closed transactions, according to Corcoran’s recent 4Q 2017 report.
“Closed sales...took a break from the double-digit surge seen earlier this year ,” said the study, adding the fourth quarter was up 7 percent over the same quarter the previous year.
The median price for Brooklyn condo resales during fourth quarter 2017 increased 9 percent over fourth quarter 2016 from $800,000 to $870,000, according to the report. During that period, the median price per square foot year-over-year rose 11 percent from $881 per square foot to $982 per square foot. Meanwhile, the average Brooklyn condo price was $993,000 in fourth quarter 2017, a 12 percent jump from the same period in 2016.
The median price for Brooklyn co-op resales in fourth quarter 2017 showed different results. A negative change in median price per square foot of 7 percent over fourth quarter 2016 was indicated, although the median price for co-op resales was $455,000, representing an 18 percent jump year-over-year. The report also indicated that the average price for co-op resales was $573,000, a gain of 15 percent from the same period a year ago. The decline in price per square foot reflects a continuing decline in prices for larger units. Fourth quarter 2017 was “the fifth consecutive quarter of annual price per square foot declines” in all bedroom types except studios.
Beth Kugel, a broker with the Brooklyn office of real estate firm Halstead, says, “This past year in Brooklyn we have continued to see very tight inventory in most neighborhoods, with lots of growth in Central Brooklyn and ‘Brownstone’ Brooklyn. Essentially, there were no declining markets in Brooklyn. We have seen growth year after year.”