Photo: Trump International Realty
It’s slim pickings in New York City real estate right now.The inventory of residential listings in Manhattan is the lowest it has been since the early 2000s, according to Stribling’s latest State Of The Market report.
The current inventory of residential residences for sale is hovering around 6,000 units, according to the report.
That means demand is high, even in the down economy.
But low inventory doesn’t necessarily mean that real estate prices will rise.
Elizabeth Ann Stribling-Kivlan, ECP and director of marketing and business development at the firm, explains inventory’s effect on prices in the report:
This is difficult to predict. The voracious appetite of parents buying apartments for their college-age youngsters has fuelled the volume of sales of studio and entry level one-bedroom apartments. With interest rates at record lows, it is a far better investment for this segment of the market to buy rather than rent apartments for their offspring.
At the same time, potential buyers for large apartments with three to five bedrooms are thwarted by the lack of inventory. As a result, bidding wars for properly priced apartments are on the increase again. This demand for inventory has equally fuelled the rage for new condominium offerings.
The average apartment in Manhattan sold for $1.4 million in the third quarter.
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