Still Near Record Highs, Brooklyn Home Prices Slow as Inventory Grows

Brooklyn home prices hovered near record levels in the fourth quarter, with median and average sale prices ticking up modestly to reach the third highest on record. At the same time, the number of sales dipped slightly and inventory expanded, early signs that the market may be beginning to cool, albeit modestly.

The average sale price for all home types climbed 3.8 percent year over year to $1,306,113, according to a market report from appraisal firm Miller Samuel for Douglas Elliman. The median reached $990,000, up just 0.1 percent from a year earlier – a slower pace of growth than in previous quarters.

Inventory increased 10.5 percent compared to last year, while the number of sales slipped 0.4 percent to 2,271 transactions. Newly constructed condos saw the steepest decline in number of sales, falling 23.1 percent year over year to 268. By contrast, condo resales rose 21.8 percent to 400, the largest transaction increase among property types.

Despite fewer sales, new condominiums posted the strongest price growth in the final quarter. Median prices jumped 17.3 percent year over year to $1,237,500, up from $1.055 million the year before.

Co-op prices saw the second-largest increase, rising 10.4 percent annually to a median of $499,500. Condo median prices increased 9.1 percent to $1.090 million, though the price per square foot declined 5.8 percent to $1,128.

Luxury home prices grew more modestly, with the median rising 3.5 percent year over year to $3.1 million. However, the threshold to qualify as a luxury sale climbed 5.5 percent from 2024, reaching $2.425 million.

As for one- to three-family homes, average prices rose 2.6 percent to 1,479,616 while median prices fell 1.7 percent year over year to $1.18 million. The average price per square foot for these homes dropped more sharply, down 10.3 percent to $709.

In northwest Brooklyn, townhouses recorded some of the borough’s biggest price gains. Median prices rose 20.6 percent to $3.135 million for single-family homes and 19.8 percent to $3.402 million for two-family properties. Still, the average price per square foot for one- to three-family townhouses declined 6.8 percent to $1,665.

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