November 2023 Newsletter

November 2023 

November Newsletter —

Daylight Savings Time has come to an end, which means the holidays are just around the corner. In this month's newsletter, we cover the October market update, check in with real estate news, and more.

Market Update

The Fed met November 1st, and interest rates remain unchanged. This is the first time the Fed has held interest rates steady in consecutive meetings in almost two years. As of this moment, the Fed is still watching the economy carefully, paying special attention to the rental market, service costs, and wage growth. They have not ruled out another rate hike in their December meeting. The financial world is betting the Fed won't raise rates again in 2023 with a market expectation of more than 90%. If the Fed decides to hold their position through the end of the year, the next big question is whether they'll start to make rate cuts in 2024.

Trends in New York City real estate are staying relatively steady as well. In the rental market, average listing prices are largely within $200 of last year's numbers in Manhattan and Brooklyn. In Manhattan, a clear line can be drawn at around $5,000/month. Below that $5,000 line is the majority of the current market share, compromised of studios and one-bedrooms. Average rents are still up year-over-year. Above that line, average rents for two-bedrooms are down by just under $40, but three or more bedrooms and luxury rentals prices are down by an average of $400. A similar divide can be seen in Brooklyn, where rentals below $5,000 remain within $100 of last year's averages. However, Brooklyn's three-bedroom averages are up over $600. Brooklyn luxury rentals have seen an increase in average listing price of over $139. For more specifics, see the October 2023 Rental Report from Compass.

Manhattan's overall sales market is up month-to-month across the board, but all increases are incremental, hovering below 10%. The only exceptions to the rule are a slight dip in number of days on the market and in contracts signed, which spiked month-over-month by 15.3%. It's worth noting that although the inventory in October was a 51%/49% split between co-ops and condos, the split for contracts signed was 59%/41%.

In Brooklyn, overall sales metrics are down slightly month-to-month across the board, but all declines are under 10%. It will be interesting to see how these numbers change as we near the end of the fiscal year and time-motivated sellers start making concessions.

Let's take a closer look at sales trends in both boroughs.

Manhattan Snapshot

Median Sale Price

+9.4%
Month-Over-Month

+21%
Year-Over-Year

Contracts Signed

+15.3%
Month-Over-Month

-12.5%
Year-Over-Year

Average Days on Market

-0.6%
Month-Over-Month

+17.6%
Year-Over-Year

Inventory

-7.3%
Month-Over-Month

-14.8%
Year-Over-Year

Source: Compass October 2023 Manhattan Market Report

Brooklyn Snapshot

Median Sale Price

-3.9%
Month-Over-Month

-0.1%
Year-Over-Year

Contracts Signed

-1.4%
Month-Over-Month

-27%
Year-Over-Year

Average Days on Market

0%
Month-Over-Month

+4.2%
Year-Over-Year

Inventory

-1.8%
Month-Over-Month

-9.3%
Year-Over-Year

Source: Compass October 2023 Brooklyn Market Report

Manhattan - October Market Report

Brooklyn - October Market Report

In the News

New York YIMBY's Q3 2023 construction report shows a continuation of the upward trend we've seen throughout 2023, with 986 filings for the quarter. That's a 3% increase from Q2 2023. While Manhattan did see a 23% decrease quarter-over-quarter in permits filed, the average number of units per filing eclipses that of any other borough. See below.

YIMBY construction reports analyze data submitted to the Department of Buildings. The reports began in 2020.

Read More Here

Credit: Will Ragozzino

City Spotlight: 
Lightscape at the Brooklyn Botanic Garden

From November 17th through January 1st, experience one of the city's most popular wintertime activities. After dark at the Brooklyn Botanic Garden, follow a trail of dazzling lights and brand new art installations to a backdrop of festive music. The illuminated path is even longer this year with new features and areas to explore, all while keeping warm with a cup of hot cocoa or mulled wine. Bring the whole family!

You can find more information here.

In Contract

Hell's Kitchen

505-513 West 43rd Street, Unit 1C

1 BD   1.5 BA   1,003 SF   $1,425,000
Buyer's agent

Lenox Hill

515 East 72nd Street, Unit 12D

1 BD   1.5 BA   927 SF   $1,100,000
Buyer's agent

Lenox Hill

255 East 74th Street, Unit 8C

3 BD   3 BA   1,825 SF   $3,250,000
Buyer's agent

Upper East Side

38 East 85th Street, Unit 7E

2 BD   2 BA   1,200 SF   $1,595,000**
Seller's agent
** In contract above asking!

No Fee Rental Listing

Upper East Side

360 East 88th Street, Unit 31C

4 BD   3.5 BA   $14,995

Available for rent or for sale.

This newly renovated, sun-soaked home is a showstopper with stunning wraparound river and city views from southern, eastern, and northern exposures. Enjoy private outdoor space, a large eat-in kitchen, high ceilings, and an in-unit washer/dryer, all in a full-service luxury condo.

Most Recent Mortgage Rates

Rates are from Citibank and are effective as of 11/07/2023. Rates are subject to change without notice.

Everyone’s mortgage needs are different. I have great relationships with mortgage brokers and loan officers from big banks and small banks who can help find the best loan for you. If you're looking for a lender you can trust, I'd love to help. Email me for more.

Rebecca's Resources

I'm an expert at successfully repositioning and selling homes that were previously listed without success. Click here for examples of how I have transformed listings to showcase a property's full potential, securing favorable deals where other agents could not. 

Find out how Compass Concierge can help you prepare your home before coming to market by fronting the costs of upgrading, renovating, and staging at no interest.

I'm born and raised in New York City. If you've got a question, I've got you covered. For recommendations on anything, from the best bodega to the most reliable train lines, it's as simple as sending me an email.

Licensed Associate Real Estate Broker
M: 917.952.0414
rebecca.orbach@compass.com

Office: 212-913-9058

Compass is a licensed real estate broker. All material is intended for informational purposes only and is compiled from sources deemed reliable but is subject to errors, omissions, changes in price, condition, sale, or withdrawal without notice. No statement is made as to the accuracy of any description or measurements (including square footage). This is not intended to solicit property already listed. No financial or legal advice provided. Equal Housing Opportunity. All Coming Soon listings in NYC are simultaneously syndicated to the REBNY RLS. Photos may be virtually staged or digitally enhanced and may not reflect actual property conditions.