Number of contracts for Manhattan apartments were down nearly 84% from May 2020 to May 2019. While there were a total of 160 contracts signed in May for Manhattan apartments when compared with 992 in May of 2019. The number of new listings fell 71% to 574 as sellers keep their properties until the city reopens.
Only 16 contracts signed in May for a total of $100 million, a 90% decline from last May when 111 contracts were signed for a total of $1.1 billion. “In the near term, continued slack demand for Manhattan could create an oversupply situation, implying lower prices ahead, and increased suburban demand could create a supply crunch, pushing up prices,” reads the UrbanDigs report. “In the meantime, it remains to be seen if the easing of stay-at-home restrictions in Manhattan will unlock pent-up demand, but with the move to the suburbs already in place and further entrenched by the COVID-19 pandemic, any pickup in Manhattan demand seems unlikely to reverse the trend.”
Is there a flight from cities like New York City? UrbanDigs found that, while demand was sharply down in Manhattan, it increased in Westchester County in New York, Greenwich, Connecticut, and in Bergen and Monmouth counties in New Jersey.