Gross sales Outlook
The gross sales market, too, has an extended technique to go, however there are shiny spots in Brooklyn and Queens.
Each Brooklyn and Queens reached new median sale value information within the final quarter of 2020, as extra consumers regarded past Manhattan for more room at comparatively decrease costs.
The median sale value reached $875,000 in Brooklyn, up 9.4 p.c from a yr in the past, and $668,000, a 9.5 p.c leap, in Queens. The median sale value in Manhattan was $1.05 million, up 5 p.c, however largely due to an uptick in new luxurious gross sales — the starter and resale markets have been anemic, Mr. Miller mentioned.
Rising curiosity within the boroughs outdoors of Manhattan, just like the gross sales surge seen in suburbs surrounding the town early within the pandemic, might recommend a everlasting shift within the shopping for patterns of New Yorkers, a lot of whom now have much less purpose to usually journey to Midtown for work — and Brooklyn has been a serious beneficiary.
“It felt like one thing from 2006,” mentioned Kristina Leonetti, a Compass agent who engaged in quite a lot of bidding wars in Brooklyn final quarter, harking back to the shopping for rush earlier than the Nice Recession. “We didn’t count on this type of response.”
In a brand new report, StreetEasy predicted that eight out of 10 neighborhoods to observe in 2021, primarily based on person visitors and gross sales and rental costs, will likely be in Brooklyn. The highest markets included Greenpoint, Prospect Lefferts Gardens, Flatbush and Greenwood.
Brooklyn’s reputation has partly been on the expense of Manhattan, the place longtime renters, enticed by close to record-low mortgage charges and comparatively reasonably priced costs, are looking for offers, with much less consideration for commute time to Manhattan.
In Brooklyn, “we noticed heightened exercise within the $500,000 to $2 million vary and, not coincidentally, that’s the place we noticed decreased exercise in Manhattan within the fourth quarter,” mentioned Garrett Derderian, the director of market intelligence for the brokerage Serhant.