G+ July 2025 Market Update

NYC Buyers are Unfazed by Economic Volatility in April

Key Takeaways:

NYC Sales Market

• NYC buyers remained active in April despite financial market volatility, with contract signings increasing 10.9% year-over-year.

• Sellers were more cautious, leading to a 1.1% decrease in new listings in April, but new inventory still outpaced contract signings.

• Due to inventory growth this year, the NYC market is looking more attractive to motivated buyers willing and able to withstand volatile mortgage rates.

NYC Rental Market

• The citywide median asking rent reached a record high of $3,850, driven by increasing rents and declining inventory in Manhattan.

• Manhattan’s rental market is heating up, with rents rising 3x faster than the pre-pandemic average as declining rental inventory fuels competition.

• Rent growth is slowing in Brooklyn and Queens as new developments fill the city’s rental inventory gap, encouraging price-sensitive renters to pivot away from Manhattan.

NYC Sales Market

·         Despite severe financial market volatility in the wake of tariff announcements, buyers in New York City did not waver. Across the city, 2,192 homes entered contract in April, up 10.9% from a year ago — the eighth consecutive month of annual increases in contract signings. Besides a short slowdown during Easter week, which fell three weeks later than last year, each week in April saw a year-over-year rise in new home contracts. These homes spent a median of 54 days on the market, one day faster than April 2024. 

·         Pent-up demand from financially ready buyers waiting for their chance over recent years continues to support home shopping activity in 2025. While the average mortgage rate snapped back to nearly 7% in early April, it gradually declined to 6.8% by the end of the month. Though much higher than in January through March, mortgage rates are still lower than a year ago, at a level that is likely to keep NYC buyers engaged in the market.

·         Sellers, however, were more cautious than buyers. As a home is many owners’ largest asset, sellers may prefer staying on the sidelines during periods of economic uncertainty. The number of listings joining the market fell annually in the first three weeks of April, but recovered somewhat in the last week of the month as stock markets partially recovered earlier losses. Altogether, 4,193 homes were listed for sale in April, 1.1% fewer than a year ago. So far, Manhattan and Brooklyn have been leading the city in new listing growth.

·         As the dust settles, the NYC market is looking more attractive to motivated buyers willing and able to withstand volatile mortgage rates. Buyers can find plenty of options, and maybe even additional negotiating power thanks to a substantial increase in new listings earlier this year. Sellers took a breather in April, but new listings joined the market at nearly double the pace at which homes went into contract.

·         Thinking about buying in NYC? Chat with us to learn about the buying process.

NYC Rental Market

·         The citywide median asking rent rose 3.9% year-over-year to $3,850 — the highest NYC has ever seen since StreetEasy began tracking the data in 2010 — with Manhattan driving the recent increases. As the only borough with declining inventory, resilient demand but low vacancy rates are leading to elevated asking rents in Manhattan. In April, there were 15,209 rentals in the borough, 5.9% fewer than a year ago. Meanwhile, there were 32,135 rentals on the market across the city, up 1.9% from a year ago. 

Manhattan’s median asking rent rose 2.4% year-over-year to a record high of $4,500 in April. Amid dwindling inventory, rent growth is accelerating in Manhattan after staying mostly flat in 2024. The 2.4% growth rate this April is 3x faster than the 0.8% on average for April in 2015 through 2019.

As new developments continue to enter the market, the outer boroughs are filling the city’s rental inventory gap. There were 10,901 rentals in Brooklyn in April, up 6.7% from a year ago. In Queens, rental inventory jumped 15.1% from last year to 4,807 homes. Soaring rent burdens since the pandemic have made New Yorkers even more price-sensitive than usual. As we head toward the peak summer season in the NYC rental market, limited options and high costs in Manhattan will continue to incentivize renters to consider Brooklyn, Queens, and the Bronx, where inventory is plentiful by comparison.

NYC Market Data: April 2025