Real Estate Insights

Manhattan Residential Market Report | September 2025​​

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The Manhattan market experienced a mild slowdown in September 2025 compared to August, though overall activity remained stable year-over-year. Price indicators softened, while inventory levels and time on market increased slightly.

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Pricing Trends: ​

• Average Sale Price: $2,157,549, down 4.6% month-over-month and 5.5% year-over-year, reflecting tempered demand at higher price points.

• Median Sale Price: $1,128,750, a 9.7% decline from August and 12.8% lower than September 2024, indicating a market shift toward more mid-range transactions.

• Average Price per Square Foot: $1,516, a 3.8% drop month-over-month and 1.9% decrease year-over-year, showing mild pricing pressure across property types.

• Market Activity

• Average Days on Market: 201 days, up 10.4% from August’s 182 days, suggesting slower absorption, though slightly faster than the 209 days recorded in September 2024 (–3.8% YoY).

• Average Discount: 7%, unchanged from August and consistent with buyer negotiation levels seen earlier in the year.

• Supply and Demand

• Inventory: 6,651 active listings, a 7.3% month-over-month increase and virtually unchanged year-over-year (+0.1%), indicating balanced conditions.

• Contracts Signed: 647, representing a 12.4% decline from August’s 739, but a 1.7% increase over September 2024’s 636, suggesting continued buyer engagement despite shifting pricing dynamics.

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Overall, Manhattan’s September market reflected seasonal softening and price recalibration, while steady contract activity and stable inventory underscored ongoing resilience in buyer demand.

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Manhattan Residential Market Report | Q3 2025​

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Manhattan’s residential market demonstrated notable resilience in Q3 2025, with 2,931 closed sales, a 9% year-over-year increase. Buyers acted quickly amid slightly easing mortgage rates and growing competition, driving condo sales up 11.6% and co-op sales up 6.9%. Demand remained focused on prime locations and lifestyle amenities, supported by generational wealth transfers and lifestyle-driven purchases.

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The luxury sector continued to outperform, with sales at or above $5 million rising nearly 15%, fueled by strong equity markets. The $3–5 million co-op segment surged 47.7%, and condos above $3 million accounted for a record 25% of all sales, reflecting buyers’ preference for flexible, investment-grade assets. Many investors are reallocating capital into high-end real estate as a hedge and diversification strategy.

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Contract activity increased 4% year-over-year, reversing earlier slowdowns, as average contract prices fell 8.7%, giving buyers greater leverage. Larger residences led the rebound, with three-bedroom co-op contracts up 15.7%, driven by wealth transfers and millennial families trading up for space.

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Inventory dipped 1.4% overall, with co-op listings down 9.4%, while condo supply rose 5.7% amid a 10% price decline, creating opportunities for buyers. Ultra-luxury listings ($10–20M) contracted sharply, down 22.6% year-over-year.

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As Q4 begins, the market is characterized by measured optimism and selective strength. Buyers and sellers continue to adjust expectations, but Manhattan’s enduring appeal, limited inventory, and lifestyle-driven demand—combined with the return of international buyers and millennial upscaling—reinforce its standing as one of the world’s most competitive and resilient real estate markets.

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National Report | September 2025

With Sales Data through August

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The Federal Reserve reduced its benchmark rate by 0.25% this month, marking the first cut of the year. While analysts expect additional cuts later in 2025, future decisions will depend heavily on upcoming economic data. Inflation recently rose to 2.9%, and weak job reports continue to highlight labor market concerns.

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Despite the Fed’s move, mortgage rates edged slightly higher to 6.3%—still significantly below levels seen in January 2025. Economic uncertainty remains elevated. Stock markets continue to set record highs, fueled by investor confidence, while consumer sentiment lags. The University of Michigan Surveys of Consumers (9/12/25) noted ongoing concerns around business conditions, labor markets, and inflation.

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Housing Market Trends

• Pricing: In August, the median U.S. existing-home sales price rose ~2% year over year; condo/co-op prices increased less than 1%.

• Listings & Sales: Active listings fell slightly from July but remain up ~12% compared to August 2024. Sales volume declined 3% month over month and 1% year over year. NAR’s Chief Economist described the national market as “sluggish” and largely unchanged from spring.

• Affluent vs. Affordable Markets: Wealth-driven demand continues to strengthen higher-end markets, while more affordable markets remain pressured by interest rates and economic uncertainty.

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Key August Metrics

• 56% of homes went into contract within one month of listing.

• 20% of sales closed above asking price.

• Median days on market: 31 (up 5 days year over year).

• Cash buyers represented 28% of transactions.

• First-time buyers: 28% | Vacation purchases: 5%.

• Price reductions: Down slightly month over month, but up 20% year over year, with 1 in 5 active listings cutting asking price.

• Contract challenges: 6% cancellations and 14% delays in closing over the past 3 months.

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Seasonal Outlook
The fall selling season, which typically runs through mid-November, is now underway. Activity is expected to cool significantly once the mid-winter holiday period begins.​

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Please be aware that reports provide broad generalizations summarizing conditions and trends across numerous local markets. While the data is sourced from reputable institutions, there may be occasional inaccuracies. National reports represent a generalized view of values, conditions, and trends across diverse markets, and data from reliable sources may contain errors and are subject to revision. Additionally, figures from previous periods may be labeled as preliminary. All numerical data should be considered approximate.