Brooklyn's real estate market shows strong momentum in Q1 2025. Contract signings are up 7% year-over-year. Median sales prices climbed 7% to $800,000.
This presentation explores key trends shaping Brooklyn's dynamic property landscape.
Market Performance Overview
$800K
Median Price
Up 7% year-over-year
$1.05M
Average Price
Second-highest in 2.5 years
7%
Contract Growth
Year-over-year increase in signings
12%
Inventory Growth
Still 17% below ten-year average
Inventory Trends
Four Consecutive Quarters
Annual inventory increases not seen since 2021
Mid-Range Growth
$750K-$1M listings up 37% year-over-year
Entry-Level Decline
$350K-$500K segment continues to contract
Neighborhood Hotspots
Fort Greene, Clinton Hill, Prospect Heights saw 80% sales jump
Property Type Performance
New development median price reached $1.275 million, an eight-year high. Resale condos hit their highest first-quarter level since 2022.
Rental Market Dynamics
Overall Trend
Average rental prices rose 1.85% from 2023 to 2024. Market becoming more balanced in early 2025.
Unit Type Variations
Studios up 3.46%. One-bedrooms up 3.78%. Two-bedrooms down slightly by 0.61%.
Regulatory Impact
May 2025: Broker fees shift from renters to landlords. Expected to increase rental demand.
Market Outlook 2025
1
Q1 2025
Stable interest rates around 6%. End of seasonal slowdown. Focus on move-in ready homes.
2
Q2 2025
Anticipated Federal Reserve rate cuts. Buyer confidence restored.
3
Q3-Q4 2025
Modest price gains expected. Continued strong demand with gradually increasing inventory.
Neighborhood Highlights
South Brooklyn
Largest annual percentage gain in listed inventory, especially resale condos and new developments.
Luxury Segment
Sales over $2 million becoming larger market share, driving higher average prices.
Mid-Market Growth
$750K-$1M price range experienced largest inventory increase.
Entry-Level
Lower-priced segment ($350K-$500K) continues to contract.