Compass' Q2 2025 Manhattan Real Estate Market Report

Manhattan's residential market performed well in Q2 2025, according to Compass' newly-released Q2 Manhattan Market Report. Closed sales were up 14.5% from the previous quarter and 5.2% year-over-year. The high-end segment thrived, and sales of ultra-luxury ($10M+) properties rose 66.7%.

Signed contracts fell 4.9%, in part because of a lack of new listings - though the $3-$5M range saw an 18.4% increase. Total inventory rose slightly to under 6,700 listings, with new listings down 14.1%.

Condos outperformed co-ops, with sales up 13.7%. That's especially impressive given that co-ops are still about 65-70% of the market. Condo buyers were motivated by the easier, less intrusive purchase process, fewer restrictions, and rental potential. New luxury condo construction was an additional enticement.

Co-ops faced more selective demand, often based on geography. If you want to live on Lower 5th Ave., for example, almost all of the buildings are co-ops. Co-ops are also 20-25% less expensive than condos, so more potential buyers can afford them.

Geo-political influences (tariff announcements, wars, the NYC mayoral primary, etc.) took a toll, and activity slowed as the quarter progressed. Things always die down around now when NYC is in full summer mode. I'll be watching this year to see if it's at the historic rate or higher.