The Brooklyn housing market started 2022 the same way it ended 2021: breaking records. And with plenty of inventory still available, there’s no sign the party will end any time soon.
More homes were sold in Brooklyn in the first three months of this year than in any quarter since 2006, according to the latest report from valuation firm Miller Samuel. The borough’s 3,666 sales represented a 30% jump from the same period last year – marking six consecutive quarters of year-over-year increases – and were up 14% from in the fourth quarter of 2021.
As sales soared, so did prices: for the seventh time in the last eight quarters, the median price of a home sold in Brooklyn set a new record. In March, it was $948,500, a 5% increase over the same period last year.
“Trend indicators as a whole have continued to be or flirt with record highs. And I think that’s been a feature of Brooklyn for the past five to six years, with or without a pandemic,” said Jonathan Miller, author of the report.
Queens somewhat mirrored Brooklyn. The borough posted 4,000 sales in the quarter, the most of any first quarter since 2007, and a 22% year-over-year jump, marking five straight quarters of year-over-year increases. A median-priced home in Queens sold for $718,444, up 9% from a year ago.
Supply in Queens, meanwhile, has dwindled. Listing inventory in the borough saw an annual decline for the third straight quarter, down 13% to 4,914 homes.
Inventory was more stable in Brooklyn, rising 1% year over year to 2,913 homes for sale.
Yet both boroughs now offer more homes for sale than before the pandemic. Inventory in Brooklyn was up 11% from two years ago, while Queens saw a jump of nearly 8%.
“One of the reasons sales are up is because inventory hasn’t collapsed,” Miller said. “It’s the unified feature of the city’s suburbs, in stark contrast to the center of the suburban markets.”
Miller called the outer neighborhood markets a “hybrid” of Manhattan and the suburbs.
“The fact that inventory isn’t wiped out by demand is a feature of the city, unlike the suburbs, but the record price is more a feature of the suburbs than of Manhattan,” he explained.
Another “hybrid” market covered in the report was Riverdale in the Bronx, where the number of sales rose annually for the fifth consecutive quarter. But the median sale price actually fell 10% from the prior quarter to $330,000, more or less where it was a year ago.