What is the Luxury Real Estate Market like in New York?

The luxury real estate market in New York is continuing to thrive. The opening and second quarters of 2022 saw more deals signed to add to the already growing count of luxury properties.

The COVID-19 pandemic had a deep impact on the market, which has now recovered, and even risen to higher prices than pre-pandemic levels. There is indeed still an increasing demand for high-end homes, especially in Manhattan.

How high is the interest rate expected to rise?

The interest rate has risen since the beginning of the global pandemic and is expected to continue to rise throughout the rest of the year. Right now, it is expected that the interest rate could increase from 5% to as high as 7% by the end of the year.

What is the current luxury market like in New York?

Simply put, the luxury real estate market is competitive, and people are looking to buy. So, with a supply shortage and an influx of demand, the prices rise with the interest rates.

Material and labor shortages add to this as well, making it another case where the demand is greater than the supply. To combat this, some sellers are opting to renovate their properties before listing so that they can charge more in the market. The results vary, but generally, the newly-renovated properties sell for more than similar, non-renovated properties.

As of the second Quarter 2022, the average sales price for luxury residences in Manhattan was around $8,800,000, and the average price per square foot is about $2,814/sq. ft. Overall, this represented a 14.5% increase year-over-year.*

*Data obtained from UrbanDigs

Is the luxury real estate New York market the same all over the city?

Luxury real estate in NYC offers a type of living that is one of a kind and cannot be found anywhere else. Because of this, the market is highly sought after, making the boroughs and neighborhoods surrounding Manhattan just as expensive. Of course, different areas offer different things, which is why BARNES, as the exemplar of luxury real estate in New York City, offers its services as a top brokerage to help you find what you need.

What can I expect in New York luxury real estate?

New York City is a historical city with many historical buildings and homes built long ago. Those interested in living in luxurious, historical buildings will thus find no shortage of options in the big city. Many of them have been completely renovated or revived to their original glory and beauty.

Alternatively, New York City offers plenty of new buildings with picturesque views of the city with all of the modern-day amenities like a workout gym, a rooftop or a swimming pool.

Where are the best neighborhoods for luxury living?

There are so many options around New York City, but perhaps, the most prevalent are TriBeCa, SoHo, and Central Park, to name a few. TriBeCa is in downtown Manhattan. It is home to countless five-star restaurants, landmarks, and celebrities. It’s got the luxurious lifestyle that goes along with its many luxurious living options.

SoHo is an upper-class neighborhood in Lower Manhattan with many high-end shops and designer boutiques. In addition, there are many historical buildings here for luxury living.

The name Central Park says it all. It is indeed the iconic park located in the heart of New York City. The forested space is walled off entirely by high rises, both old and new, and the neighborhood offers a plethora of luxury living spaces. If you want the most picturesque views of New York City, you will find what you need here. Central Park Tower is actually the world’s tallest apartment building, located on New York City’s Billionaires’ Row. One of the most famous street, renowned for its luxury new developments with incredible amenities, is Park Avenue, south of Central Park.

How do I get more information on the luxury real estate market?

New York has a rich and storied history that dates back to the beginnings of modern-day America. It is a city like none other in the world and is host to some of the best luxury real estate options out there. New York City really has it all, from buildings built over a century ago to new constructions with all the amenities one could dream of.

A great place to begin your in-depth search into New York luxury real estate is here, with BARNES New York. BARNES is a top brokerage and can help guide you to finding the best possible option for luxury living.

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Luxury real estate in New York is still strong

Article courtesy of Challenges.fr

BARNES New York had the opportunity of giving a short market update for French-language weekly business magazine Challenges.fr

The high-end real estate market is back in New York. The supply of properties for sale could even still increase thanks to offices being turned into residential housing. While the United States has just reopened its borders to foreigners and international tourists back in November, workers are busy renovating the One Wall Street building. Located in the heart of Manhattan’s Financial District, at the corner of Broadway and Wall Street and opposite Trinity Church, this historic 56-story Art Deco building, which rises to nearly 200 meters in height, built between 1929 and 1931 for the Irving Trust Company and then occupied by the Bank of New York, is the largest office-to-residential conversion project in New York City’s history.

This 90-year-old building will yield 566 new units ranging from studios to four-bedroom apartments and a single penthouse. Residents will benefit from access to the on-site amenities, including a state-of-the-art athletic club complete with a 75-ft enclosed pool, event and entertainment space, and spa services – all with clear views of the Statue of Liberty and New York Harbor.

The project, scheduled for delivery next year, could have turned into a fiasco with the Covid-19 epidemic and the uncertainties surrounding the future of real estate market. But the demand has returned and prices are close to their pre-pandemic levels. But the client’s requirements and needs have changed. Young couple and families with children are looking at neighborhoods offering open and green spaces and a better quality of life.

In terms of price, in new buildings, prices reach 17,000 euros per m² in the Dumbo district of Brooklyn, one of the most popular, and “climb to 19,000 euros per m² in TriBeCa, 20,000 euros per m² in the Upper East Side, 22,000 euros per m² in the Upper West Side and 25,000 euros per m² in Hudson Yards, compared to 11,000 to 19,000 euros per m² in the former, depending on the sector”, indicates Yann Rousseau, Managing Partner at BARNES New York.

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