The average apartment price in Manhattan hit a record $1.95 million in the fourth quarter, as high-end real estate continued to defy volatile stock markets and slowing growth overseas.
Real estate sales grew 9 percent in the quarter compared to the same quarter last year, according to real estate firm Douglas Elliman. But prices are soaring even higher: The average sales price jumped 12 percent, while the median sales price hit a record $1.15 million and the price per square foot hit a record $1,645.
The price strength shows that Manhattan real estate remains a financial high ground for the world’s wealth as they seek safety from volatile financial markets and the slowdown in China.
“The (Manhattan) market continues to be a safe haven,” said Jonathan Miller, president of Miller Samuel, an appraisal firm. “The volatility and government intervention in China will just incentivize more outflows.”
Still, Manhattan real estate remains a tale of two markets. The condo market, driven in part by new construction favored by overseas buyers, is on a tear, with average sales prices jumping 25 percent over the past year to $2.66 million, and the price per square foot up 26 percent to $1,959. For just new construction, average sales prices hit $3.29 million or $2,210 a square foot.
Yet the co-op market, which is almost exclusively U.S. buyers and largely in older buildings, is selling for an average of $1.28 million or $936 per square foot.