Brooklyn Home Prices Set 10-Year Record


    Brooklyn home prices have hit a 10-year record high, according to a story in The New York Post, with the average now $694,777. That may not sound super expensive but the figure includes apartments as well as houses in every neighborhood throughout the borough. “Before the economic meltdown, the average price of a Brooklyn home hit $603,428 in 2007 — then sank to $494,720 in 2009 — but has rebounded to a stunning $694,777,” said the Post. The paper attributed the rise to “surging demand” and “low-but-rising” interest rates. Brooklyn “isn’t a discount neighborhood anymore,” the story quoted Corcoran Group CEO Pam Liebman as saying.

    The rise becomes more shocking when broken down by housing type and neighborhood. The average co-op in the combined area of Carroll Gardens, Boerum Hill and Red Hook, for example, now costs $937,000 — a remarkable 41 percent increase from the same quarter the year before, said the Post. Condos in the combined area of Williamsburg and Greenpoint are now selling for an average of $914,000, up 21 percent from the year before. Meanwhile, in the “luxury” category, the median price is now $1,700,000 across the whole borough, an increase of 18 percent.

    The figures are based on a slew of reports from Douglas Elliman, Corcoran and others on sales and rentals in Brooklyn that came out today.

    Inventory continues to be very tight, leading to fewer transactions, according to The Real Deal. As a result, Brooklyn rental prices continue to rise, despite a huge increase in the amount of available Brooklyn rental inventory, The Real Deal reported.

    Another story in the Post today said prices of homes near Barclays Center have risen because of proximity to the arena and quoted residents of area who said they are no longer put off by the development. Do you agree prices there have risen because of Barclays, or is it a Brooklyn-wide (or even nation-wide) thing?

    Brooklyn Home Prices Hit 10-Year Record High [NY Post]
    Brooklyn’s “Terrible” Inventory Crunch Slashes Sales, Boosts Prices in Q3 [TRD]
    Manhattan Rents Plateau, While Brooklyn Continues to Boom [TRD]

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