Manhattan’s Luxury Market in October 2024 vs. October 2023: The $4M+ Club

Alright, folks, it’s time to dive into the Manhattan luxury real estate market—a place where “breathtaking views” don’t come with a fainting couch, and the price tags on homes are only mildly astronomical. Let’s dig into what’s hot, what’s not, and why that $4 million threshold is basically the doorman at the velvet rope of New York real estate.

Contracts and Sales Volume

For October 2024, the luxury market—properties at $4 million and up—kept buyers busy. The market saw a slight dip in contracts over the previous year, with signed deals nearly matching October 2023. A few record-breaking transactions helped buoy overall numbers. From the weekly reports, around 19 properties per week entered contract during October, maintaining steady demand amidst tight inventory.

Inventory Woes: Fewer Listings, Higher Prices

Compared to 2023, the inventory in 2024 tightened up like a snug pair of jeans, especially in prime locations. Fewer homes were listed, driving prices up as demand outpaced supply. This inventory crunch saw ultra-high-end listings (think $20M and above) climb by over 16% year-over-year as buyers vied for a shrinking slice of Manhattan’s prime real estate.

Price Trends

While demand was steady, price per square foot is slipping slightly, a trend seen for the past few quarters. For October 2024, prices per square foot were down around 6% to an average of $1,734—a win for buyers looking to negotiate. The median sales price rose slightly year-over-year, though this is more about sales distribution shifting toward pricier neighborhoods rather than a blanket increase.

Time on Market

The average Manhattan luxury home took around 606 days to find its forever owner in October 2024, a significant decrease from last year’s typical two-year-plus listing timeline. This reduction in time on market hints that sellers are getting savvier with pricing—or buyers are just getting impatient.

Visualizing the Market

To illustrate these shifts, I’ve plotted a graph to compare key market indicators for October 2024 vs. October 2023. Take a peek, and see where the money is flowing!

1.    Weekly Average Contracts Signed - Slightly fewer contracts in 2024, reflecting consistent demand amid tight inventory.

2.    Average Price Per Square Foot - A decrease in 2024, signaling some cooling in price intensity per square foot.

3.    Median Days on Market - Significantly faster sales in 2024, highlighting a more active buyer pool and sharper pricing from sellers.

These metrics together paint a picture of a high-demand market where inventory scarcity drives up prices, and homes are moving faster than before. FINALLY!

For October 2024, some of the hottest Manhattan neighborhoods in the luxury market include Tribeca, Upper East Side’s Carnegie Hill, and NoMad/Flatiron. Tribeca continues to attract high-end buyers with its unique mix of historic lofts and luxury condos, while Carnegie Hill remains popular for its high-end co-ops and prime location near Central Park. Meanwhile, NoMad and Flatiron offer modern condos with luxury amenities, drawing interest from buyers seeking proximity to Midtown and Madison Square Park.

As for the priciest property of the month, one of the most expensive Manhattan listings is an ultra-luxe condo in the Surrey Residences, which combines residential units with a high-end hotel experience.