Manhattan’s post-Labor Day housing market has kicked off at a brisk pace thus far, with roughly 15% more listings than usual hitting the market between the holiday Monday and Wednesday, according to a report from real estate analytics firm UrbanDigs.
The report, released Thursday, compared listing volume the week after Labor Day 2021 with inventory averages for the same period from 2016 through 2020. The spike by historic standards indicates sales seem to be moving quickly enough to absorb the extra listings.
“We are seeing a bigger increase in post-Labor Day listings than usual, but it’s coming at a time when deal volume and off-market trends are historically very high, thereby muting the effects of new inventory on overall supply,” UrbanDigs co-founder Noah Rosenblatt told Mansion Global.
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Rosenblatt added, “If we subtract the number of contracts signed and the number of listings taken off market from the number of new listings, the market is actually running a net deficit of inventory, pressuring supply lower.”
The increase in new listings was less pronounced in the luxury segment. For sales above $5 million, the number of listings post-Labor Day so far this year has remained on par with previous years.
The report comes at a time when overall market sentiment for Manhattan is on the rebound after slamming to a halt during the depths of the pandemic in 2020.
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In a survey of 12,000 Brooklyn and Manhattan real estate agents in late August, UrbanDigs found that 55% reported August 2021 sales being “busier than normal, if not the busiest August they have experienced.” The rental market showed even more momentum, with 72% of agents reporting a “busier than normal, if not the busiest” August.
After a slow market recovery from the city’s time as the global epicenter for pandemic, Covid-19 concerns among New York buyers and renters also appear to have waned significantly; 82% of agents surveyed reported “business as usual” with masks and safety protocols in place.