Manhattan Market Update - December 2023

Today, we will be delving into the intriguing world of real estate metrics, specifically focusing on the correlation between various factors that affect the buying and selling process. As potential buyers and sellers, it is crucial to understand these metrics in order to make informed decisions and navigate the market intelligently.

Let's begin our analysis with an examination of the "Months Supply of Inventory." This metric measures the number of months it would take to sell all the available homes on the market based on the current sales pace. Our data reveals that the current Months Supply of Inventory stands at 9.36. This indicates that, at the present rate of sales, it would take approximately 9.36 months to exhaust the existing inventory.

Now, let's shift our attention to the "12-Month Change in Months of Inventory." This metric illustrates the percentage change in the Months Supply of Inventory over the past year. We find that it has experienced a significant decrease of -16.13% during this period. This indicates a reduction in the time it takes to sell available homes, suggesting a more competitive market with a higher demand for properties.

Moving on, we come to the "Median Days Homes are On the Market." This metric provides an understanding of how long homes typically stay on the market before being sold. Our data shows that the median duration is 106 days. This information is particularly valuable for sellers, as it gives them an idea of the average waiting period before their property is likely to be sold.

Next, we have the "List to Sold Price Percentage." This metric examines the percentage at which the final selling price matches the initial listing price. The data showcases an impressive List to Sold Price Percentage of 99.1%. This indicates that, on average, properties are selling for almost the full amount initially listed. It highlights the effectiveness of pricing strategies and the strong negotiation skills of both buyers and sellers in the current market.

Finally, we come to the "Median Sold Price." This metric reveals the middle point of all the sold prices in a given area, providing a snapshot of the overall market value. Our data indicates a Median Sold Price of $1,277,500. This figure represents the price at which half of the sold properties are above and the other half are below. It gives both buyers and sellers an understanding of the prevailing market value for properties in the area.

In conclusion, it is evident that these real estate metrics are interconnected and provide valuable insights into the current market conditions. The Months Supply of Inventory, 12-Month Change in Months of Inventory, Median Days Homes are On the Market, List to Sold Price Percentage, and Median Sold Price all work together to help buyers and sellers make informed decisions. By understanding these metrics, buyers can gauge market competitiveness, while sellers can strategize their pricing and timing. Remember, knowledge is power in the world of real estate, and staying informed is essential in achieving your desired outcomes.