Bronx Real Estate Market Remains Strong for Both Buyers and Sellers – Q1 2023 Market Report
The First Quarter of the year saw a significant decrease in time on market while average prices dipped due to an increase in smaller units on the market. Let’s look at how the Bronx market fared in the first quarter of 2023 and how it compares historically.
The First Quarter of the year saw a significant decrease in time on market while average prices dipped partly due to smaller units on the market.
Let’s look at how the Bronx market fared in the first quarter of 2023 and how it compares historically.
In Q1 2023, the Bronx real estate market has continued to remain strong, despite macro-economic forces impacting the market. The average sale price has decreased 13% to $527,962, down from Q4 2022’s $609,750, but still higher than the average sale price in 2021. This is likely attributed to the late summer increases in interest rates putting downward pressure on pricing as buyers pulled back to see where the interest rate market was headed. The condo and co-op markets have also seen decreases, with average prices of $312,783 and $251,366, respectively.
On the other hand, single-family and multi-family homes have seen an increase in average prices, with averages of $609,253 and $749,382, respectively, implying that the demand for these properties is not as heavily impacted by the shift in interest rates. The median sale price has also remained relatively steady at $540,600. The average price per square foot has decreased slightly to $323, down from Q4 2022’s $331.
Buyers in Q1 2023 have not been able to negotiate as much of a discount off the asking price, with an average discount of only 2%, compared to Q4 2022’s average discount of 6%. Additionally, only 10% of properties have taken longer than 180 days to enter into contract, down from Q4 2022’s 39%, indicating a quickening market.
The median days on the market has decreased to by more than a month to 57, with an average of 58 days on the market. The absorption rate has also decreased slightly to 24%, down from Q4 2022’s 39% meaning that the market is moving at a faster pace.
Overall, while there have been some price fluctuation in the Bronx real estate market in Q1 2023 compared to Q4 2022, it remains a strong and stable market for both buyers and sellers.
