New York City’s real estate landscape underwent notable changes in Q3 2024, with SoHo emerging as the city’s most expensive neighborhood for the first time since 2016. The market showed moderate growth, with citywide median sale prices rising 3% year-over-year to $770,000 and transaction volume increasing 6% to 7,925 deals.
Hudson Yards’ Notable Absence
The quarter’s most significant development was Hudson Yards’ absence from the rankings, recording just four residential sales—insufficient to meet the minimum threshold for price analysis. This marks the neighborhood’s first exclusion since Q2 2020, during the pandemic’s early stages.
SoHo and TriBeCa Lead the Pack
Despite an 8% year-over-year price decline, SoHo secured the top position with a $4.25 million median sale price. TriBeCa followed at $3.9 million, benefiting from a dramatic 55% price surge, though sales volume dropped 36% year-over-year due to decreased co-op transactions.
Brooklyn’s Rising Influence
Brooklyn achieved a milestone by placing 23 neighborhoods among NYC’s 50 most expensive—surpassing Manhattan for the first time since Q2 2021. Three Brooklyn neighborhoods ranked in the top 10:
- Cobble Hill (#4) at $1.84 million
- DUMBO (#8) at $1.67 million
- Carroll Gardens (#9) at $1.63 million
The borough also dominated sales growth, with Greenpoint leading the charge as transactions more than doubled year-over-year, largely driven by The Huron development’s 25 unit sales.
Queens Shows Strong Momentum
Queens demonstrated remarkable growth, placing 11 neighborhoods in the top 50. Hollis Hills recorded the city’s sharpest price increase at 125% year-over-year, reaching $966,000. This surge stemmed from a shift toward single-family home sales, which represented 10 of 17 total transactions.
Hunters Point led Queens’ luxury market as the borough’s only representative in the top 20, securing the #20 position with a $1.21 million median sale price.
Market Implications
The third quarter’s shifts suggest evolving buyer preferences and market dynamics:
- Price growth remains moderate but steady
- Brooklyn’s ascendance indicates strong demand for its residential offerings
- Luxury market resilience continues despite economic headwinds
- New development sales significantly influence neighborhood rankings
With Hudson Yards’ temporary exit and SoHo’s resurgence, Q3 2024 marks a potential inflection point in New York City’s luxury real estate landscape. As the market adapts to changing conditions, the interplay between Manhattan’s established luxury corridors and Brooklyn’s rising prominence promises to shape future trends.