This month the condominium market experienced growth in both average price as well as price per square foot across all bedroom categories.
Also for both condos and co-ops, declining inventory paired with decreasing buyer negotiability and shorter average time on the market indicate a tightening of the market versus last year. Despite the diminishing inventory, contract activity increased year-over- year by 16% in the condo market and 9% in the co-op market, indicating strong demand.
Condominium Market Snapshot
Median price dropped 26% month-over-month, due to seasonal trends plus a smaller volume of two and three+ bedroom sales and an increase in one bedroom sales. Buoyed by higher-end sales in new developments, the average price increased by 6% year-over-year. Inventory continued to decline this month with a 12% drop since November 2012.
Accordingly, buyer negotiability dropped from a 3.2% discount off last asking price to 1.3% and the average number of days on the market dropped 54%, from 187 to 86 days. These indicators together clearly support a tightening of the condominium market as supply and demand dynamics continue to drive price growth.
Cooperative Market Snapshot
Two-bedroom units had the second largest gain, at 16% price per square foot increase year- over-year. Studio units gained 7% and 1-bedrooms saw the smallest gain in price, 4%. The limited inventory has tightened the market; the average number of days a property was listed on the market dropped significantly from both last month and last year, with 28% and 46% declines respectively.
Average sale price dropped year-over-year by 10%, however median price and price per square foot held steady