Manhattan vs. Brooklyn Q1 2015 – The Prices

Curious as to how the numbers stack up in Manhattan and Brooklyn? Here are two infographics to give you a basic overview, based on Corcoran’s most recent quarterly reports for both boroughs. (Click here to view the full Manhattan Report and click here to view the full Brooklyn Report.)

Manhattan Infographic Q1 2015

Brooklyn Infographic Q1 2015

The cold weather might have taken a bit of an edge off the Manhattan sales market this year – while the median in Manhattan was $955,000 compared to $899,000 last year this time, prices were flat compared to Q4 2014 – prices saw just a 1% increase from a median of $950,000. Whether or not prices are truly stabilizing remains to be seen, especially now that we’re in the midst of the historically busy spring sales season.

Meanwhile, in Brooklyn, things just keep heating up –  the median price was $550,000 compared to $442,000 last year. Yet another really big jump – up 25% to be precise. What’s behind the incredible surge? Historically low inventory, unrelenting buyer demand, and unprecedented absorption at new property launches.

Now here’s where this report is going to get a little different from last time.

In the past, I would present you guys with a chart showing how median sales prices for co-ops and condos stack up in various areas of Manhattan and Brooklyn. But those charts show the median for ALL apartment types which, while interesting, may not be of much practical use for those of you either actively searching or thinking about searching.

This time around, I’ve set up a chart which shows the median price by apartment type for each type of building covered by the report, and then I give you the lowdown for which areas have individual medians below those prices by building type.

Note – I prefer to use the median rather than the average price because the median represents the middle point – so half of all the listings noted in a given area are above that price and half are below.

Manhattan

Co-ops Condos New Development
Studios $390,000 $650,000 $795,000
1 Bedrooms $635,000 $950,000 $1,230,000
2 Bedrooms $1,200,000 $1,896,000 $1,980,000
3+ Bedrooms $2,495,000 $3,700,000 $4,613,000

 

Brooklyn

Co-ops Condos New Development
Studios $295,000 $653,000 $587,000
1 Bedrooms $410,000 $739,000 $735,000
2 Bedrooms $775,000 $950,000 $906,000
3+ Bedrooms $1,650,000 $1,310,000 $1,288,000

 

Below the Median For…

Studios

Manhattan                

East Side (co-op, condo)
Midtown (co-op, condo)
Upper Manhattan (all building types)
Financial District/BPC (new development)                                

Brooklyn

Brooklyn Heights, Downtown, Cobble Hill & Dumbo (condo)
Park Slope & Gowanus (condo)
Fort Greene, Clinton Hill & Prospect Heights (co-op)
Bed-Stuy, Crown Heights, Lefferts Gardens (co-op)
South Brooklyn (co-op and condo)

1 Bedrooms

Manhattan

East Side (co-op, condo)
Midtown (co-op, condo)
Financial District/BPC (condo, new development)
Upper Manhattan (all building types)

Brooklyn

Park Slope & Gowanus (condo)
Fort Greene, Clinton Hill & Prospect Heights (condo)
Carroll Gardens, Boerum Hill & Red Hook (condo)
Bed-Stuy, Crown Heights, Lefferts Gardens & Bushwick (condo)
Kensington, Windsor Terrace, Ditmas Park, Flatbush & Prospect Park South (co-op)
South Brooklyn (co-op and condo)

2 Bedrooms

Manhattan

Midtown (condo)
Financial District/BPC (all building types)
Upper Manhattan (all building types)

Brooklyn

Fort Greene, Clinton Hill & Prospect Heights (condo)
Bed-Stuy, Crown Heights, Lefferts Gardens & Bushwick (co-op and condo)
Kensington, Windsor Terrace, Ditmas Park, Flatbush & Prospect Park South (co-op and condo)
South Brooklyn (co-op and condo)

3+ Bedrooms

Manhattan

East Side (condo)
Midtown (co-op, condo)
Financial District/BPC (condo, new development)
Upper Manhattan (all building types)

Brooklyn

Park Slope & Gowanus (co-op)
Bed-Stuy, Crown Heights, Lefferts Gardens & Bushwick (co-op and condo)
Kensington, Windsor Terrace, Ditmas Park, Flatbush & Prospect Park South (condo)
South Brooklyn (co-op and condo)

The Takeaway

It’s clear that if you’re looking in Manhattan, then you should consider the East Side, Midtown, Financial District/BPC and Upper Manhattan, since all of these areas have prices below the median in multiple categories of apartments. Prices in Brooklyn overall are still more affordable relative to Manhattan (especially if you’re willing to head deeper into the borough), but the competition for properties is incredibly fierce. A large number of buyers are flocking to Brooklyn either as their first choice or as a result of being priced out of Manhattan. But no matter where you’re planning to look, I strongly recommend considering both condos and co-ops. Given significant price differentials between the two of them across the board, and the historically low inventory in both boroughs, prospective buyers would be best served by considering all options available to them. Not sure what the difference is between a condo and a co-op? Or are you uncertain as to whether or not you would qualify to buy in a co-op? Then check out my past blog posts here and here for more information.

And of course, if you have more questions about the market, a specific neighborhood or NYC real estate in general, feel free to contact me. I’m always happy to help!

Nikki R. Thomas
Licensed Associate Real Estate Broker
The Corcoran Group – Village Office
212-937-1647
nikki.thomas@corcoran.com

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