Why are Manhattan condo prices falling?

Manhattan condo prices are affected by high selling fees, taxes, economic factors, and reduced foreign buyer interest, leading to price declines for many units.

Are rents increasing in Manhattan?

Yes, the median rent in Manhattan has increased by 10% over the past year, largely due to decreased affordability in the housing market.

Who can afford to buy a condo in Manhattan?

Many first-time buyers are shut out of the Manhattan market, with some younger individuals receiving financial help from parents to afford purchases.

Home / Business and Economy / Manhattan Condos: A Losing Game?

Manhattan Condos: A Losing Game?

26 Nov

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Summary

One-third of Manhattan condos sold at a loss recently.
Manhattan property values have fluctuated over the last decade.
High buying costs push many New Yorkers to rent.

In Manhattan, a significant portion of the real estate market is underperforming. Between July 2024 and July 2025, one in three condominium units sold at a financial loss, a trend attributed partly to high city selling fees and taxes. This follows a decade of considerable volatility in property values, with the price per square foot in Manhattan decreasing substantially since November 2015.

The downturn in condo and co-op values from 2022 to 2024 was exacerbated by economic tightening and a reduction in foreign buyers, influenced by shifting currency exchange rates. Despite recent challenges, some experts predict potential market growth over the next decade, though accessibility remains a major concern.

First-time buyers are largely priced out, with many relying on parental assistance. This lack of affordability directly contributes to rising rents, which have increased by 10% in the past year, making renting a more feasible option for many, including affluent residents, and a key issue in local politics.

Disclaimer: This story has been auto-aggregated and auto-summarised by a computer program. This story has not been edited or created by the Feedzop team.