Photo: Robert Clark
These five NYC neighborhoods saw the largest annual gains in median home prices in August, and surprisingly some of the city’s hottest neighborhoods weren’t on the list.
Comparing median recorded sale prices citywide from August 2016 to August 2017, the listing site StreetEasy indexed the top five neighborhoods where prices had increased the most.
But, StreetEasy was cautious to point out that this doesn’t necessarily show that the value of all homes in an area have increased, but rather “the overall price of homes in an area is increasing based on homes sold within a given period of time.”
“It’s important to remember that this is just a snapshot of homes that sold in each neighborhood in August 2017 and how it compared to August 2016,” StreetEasy tells BuzzBuzzNews.
Here are the five neighborhoods that had the fastest rising home prices in August:
1. Little Neck, Queens
The median recorded sale price rose 163 percent year-over-year to $647,000 in August. Homes that sold this past August were pricier than those that sold last year, says StreetEasy. Prices in this upper-middle-class suburban Queens neighborhood swing from $179,000 on the low end to as high as $2 million at the top.
“The price disparity suggests that Little Neck’s housing stock can vacillate widely from month to month,” according to StreetEasy.
2. Flatiron, Manhattan
Prices grew 153 percent from last year to $4.3 million in August in the Flatiron neighborhood, which was recently named the city’s most expensive neighborhood. Flatiron is ripe with new construction, and a plethora of luxury contracts at Madison Park Tower likely contributed to the area’s gains.
“In August, more than 40 condos sold in the building, all for well over seven figures,” says StreetEasy.
3. Upper East Side, Manhattan
This Manhattan neighborhood is packed not with high-end new construction, but what StreetEasy calls “old school luxury buildings.” Median home prices rose 50 percent year-over-year to $1.7 million in August. The Upper East Side’s housing stock is a mixed bag of luxury penthouses and walk-ups.
“Prices in the Upper East Side can easily fluctuate between six figures and over $10 million,” explains StreetEasy.
4. Bushwick, Brooklyn
The only Brooklyn neighborhood to make the list, prices rose 42 percent annually to $915,000 in August. This popular neighborhood has seen a large number of new construction in recent years, but its housing stock remains very mixed.
“Two large-scale multi-fam investment projects likely drove Bushwick’s prices up, not new development,” observes StreetEasy.
5. Yorkville, Manhattan
Possibly a result of the new Second Avenue subway stations, prices in Yorkville grew 36 percent from last year to $990,000 in August. In addition to rising prices, the neighborhood saw the number of transactions increased by 56 percent over the same period. However, a high number of closings in the luxury condo building 389 East 89th Street are likely behind the spike in Yorkville’s prices.
“When a new building opens, all of the sales made during pre-marketing close upon the opening date, hence the surge in closings,” says StreetEasy Senior Economist Grant Long in the report.
But Long states firmly that Yorkville is still very much a “neighborhood to watch.”
“Generally, price growth shows that a housing market is healthy and in-demand, which is what we continue to see here in NYC,” StreetEasy tells BuzzBuzzNews.
Looking ahead to compiling the next list of neighborhoods with the fastest rising prices, StreetEasy says there are some obvious trends to look out for.
“We have our eye on neighborhoods that have lots of new development, are seeing any changes to transportation to make them more accessible, and areas where homes are more modestly priced in comparison to the rest of the city,” StreetEasy tells BuzzBuzzNews.
Click here to read the entire report.