The Manhattan Spring Market Hasn't Fulfilled the Promise We Saw in March

The Manhattan spring market hasn't fulfilled the promise we saw in March. Yes, the number of signed contracts is up 7% over last year. That's very good, and it looks like we'll have a pretty typical May. However, the expectation (or hope?) was that we'd do even better. Then the tariff talk started.

It's almost a tale of two markets. The under $2M price range has been most affected. That makes sense, as more of these buyers finance their purchases; and interest rates matter. Buyers in this price range may also have less leeway to move forward with a purchase if their investment portfolios take a hit.

Over $2M, it's a different story. This sector is more active. There's a much higher percentage of cash buyers, so they're less affected by the most recent economic upheaval. As for the Manhattan luxury ($5M+) market, it's going gangbusters. Last week thirty contracts were signed in this price range.

My expectation is that we'll continue to see new signed contracts and listings remain at about the same level for the next few weeks as we head towards July 4th. Then we'll hit the inevitable summer slow down. Business will still happen, just at a more moderate pace.