Mr Average will now have to spend $1 million condo for an average Brooklyn condo.
That’s one of the findings in the second quarter market report issued by Brooklyn brokerage, Ideal Properties, last week.
While the landmark $1 million price makes for the quarter’s big headlines, the report points out that the median price, which is less impacted by blockbuster sales, was $907,500 for the quarter.
Overall, residential sales prices increased 27.5 percent in Brownstone Brooklyn and North Brooklyn in the second quarter of 2014 over the same period last year, and rose 2.7 percent from the previous quarter, according to the Brownstone Brooklyn and Beyond market report released by Ideal Properties.
Brownstone Brooklyn and North Brooklyn’s residential properties sold for an average of $1.16 million.
Median prices increased 7.2 percent to $905,000 from the previous quarter and average prices per square foot grew by 8.7 percent to $900, while median prices rose from $808 per square foot to $884, rising 17.1 percent.
“Within one year, prices have increased dramatically and we anticipate the undersupply of new development inventory to continue to fuel this trend,” stated Aleksandra Scepanovic, managing director of Ideal Properties Group.
“For the rest of the summer and through 2014, we expect that townhouses, co-ops and condominiums will continue to attract home buyers — to both the most popular neighborhoods as well as the burgeoning areas of the borough.”
The average price for townhouses rose more than 107 percent to $2.113 million from the same time period of 2013 but slipped slightly by 4.2 percent from the previous quarter.
To an extent attributable to the flattening of the townhouse market, co-operative units increased in price up 6.5 percent from the previous quarter and up 71.1 percent from the same time period in 2013.
Additional findings of the report include:
Condominiums made a comeback, largely due to extremely limited inventory and the rising price of townhouses; median price per square foot rose 35.5 percent to $1,038 from the same time period last year and 28.5 percent quarter-over-quarter;
Properties in Downtown Brooklyn accounted for nine percent of all sales in 2Q2014, while Greenpoint participated with seven percent;
The closing process slightly accelerated by 0.8 percent, or five days, over the previous quarter and 16 percent over the same time period in 2013
Fifty-one percent of properties sold below listing price; 39 percent sold above and 10 percent sold at the asking price.
Data in this report focuses on the “North” section of Brooklyn, encompassing Williamsburg, the Navy Yard and Greenpoint; and the “Northwest” or Brownstone Brooklyn section including Boerum Hill, Brooklyn Heights, Carroll, Gardens, Clinton Hill, Cobble Hill, Park Slope, Prospect Heights, Windsor Terrace and the Columbia Waterfront District as well as parts of Downtown, DUMBO, Fort Greene, Gowanus, Red Hook and Vinegar Hill.
The report analyzed closed sales data of individual co-op and condos, and one- to three-family townhomes in Brooklyn.