JUNE 2025 MARKET UPDATE

🏙️ New York City Market Overview

🏘️ Citywide Trends & Pricing

As of Q1 2025, median home sale prices in NYC hover around $770K, marking a modest +2.1% YoY increase.
Meanwhile, luxury condos remain resilient—Manhattan saw a record $1,543 per square foot for contracts signed in February .
The luxury sector made waves with 55 contracts above $4M in just one week—a level unseen since 2021.

📈 Inventory & Price Adjustments

Lots of listings are seeing post–Memorial Day price cuts: nearly 400 condos, co-ops, and townhouses had markdowns in late May–early June.
Supply remains tight overall—but office-to-residential conversions (e.g., 5 Times Square, 25 Water St.) are slowly injecting new units into the market.

🔄 Broker Fee Ban

On June 11, 2025, NYC’s FARE Act took effect. Brokers’ fees—typically paid by renters—must now be covered by landlords unless renters hire the broker themselves .
This change slashes upfront costs from avg. $13K to ~$7.5K, easing a major financial burden .
Critics warn landlords may raise monthly rents to offset costs; however, early data and expert opinion suggest minimal rent hikes.

📊 Sales & Prices

Q2 2025 median home price in the Bronx stands at $305K, down ~3% YoY .
However, condos saw substantial growth: median prices rose +13.7% YoY, and co-ops jumped +12.6% (to ~$242K) .

📈 Demand & Inventory

Earlier reports showed tight supply and YoY price increases (~+7% overall; +8.8% for 4‑beds) .
Yet mixed signals: Q2 shows slight depreciation for single-family homes, while multi-unit properties (condos/co-ops) gain momentum.

🌆 Neighborhood Dynamics

Port Morris: transforming from industrial to residential, attracting young professionals—with loft conversions and waterfront green initiatives.
Hunts Point: still predominantly low-income, but long-term demographic stability sets the stage for future redevelopment.

Mortgage & Construction Costs: Nationwide rates sit around 6.5–7%, stalling affordability .
Tariff Pressures: Proposed tariffs on steel and aluminum may drive up construction costs, potentially impacting Bronx and Manhattan rental markets most .
Office-to-Residential Conversions: NYC leads nationally—millions of sqft repurposed, including 8.3M sf conversions planned from Battery Park to Midtown

Stakeholder	Key Takeaways
Buyers	In Manhattan & outer boroughs like QNS/BRONX, prices are up but moderating. Tight inventory + higher rates = room for negotiation. Watch foreclosure risk.
Renters	FARE Act brings major relief on moving costs—but monitor if landlords push costs into rent. Strong demand may keep vacancy low (~1.4% in rental market) noradarealestate.comnypost.com +3wsj.com +3businessinsider.com +3.
Investors	Opportunity room pick-up in Bronx condos/co-ops with solid YoY gains. Office‑to‑ residential conversions also possible targets.
Neighborhood Watch	Emerging hubs like Port Morris offer growth potential. Traditional areas like Hunts Point may benefit from infrastructure investments.

NYC market remains resilient but cautious: slow-and-steady price growth, tight inventory, luxury and conversion markets still strong.
Bronx shows mix: single-family homes cooling slightly, while condos and co-ops surge upward.
FARE Act is a game-changer for renters—but its full impact on long-term rents remains to be seen.
Buyers and investors should keep an eye on interest rate trends, inventory levels, and infrastructure developments—especially around conversion projects.

Want to dig deeper into specific Bronx neighborhoods, financing options, or compare NYC submarkets? Just say the word!