HGAR: New York Metro Area Home Prices Increased by More than 18% in First Quarter of 2024

WHITE PLAINS—Home prices in the New York metropolitan area, including New York City, Westchester County and Jersey City, NJ saw significant growth in the first quarter of 2024 as the 30-year fixed mortgage rate ranged from 6.60% to 6.94%, according to the National Association of Realtors latest quarterly report. Compared to one year ago, the median price for all residential property types in the New York metro area climbed by 18.4% to $663,100.

The New York metro area ranked within the top 10 in the country for price gains. “New York City and the Hudson Valley continue to be among the most desirable locations in the nation, so it’s no surprise that inventory is at a premium and home prices are reflecting that,” said Lynda Fernandez, HGAR CEO. “Based on pending sales in our region, we’re looking forward to an exciting spring and summer market, where we’re predicting that the market will open up a bit more offering additional properties for sale.”

HGAR’s coverage areas within the New York Metro region include the Bronx and Westchester, where pending sales for single-family, condos and co-ops were up in both locations at the end of the first quarter. In the Bronx, pending sales saw a 13.8% increase for all property types, but the median sales price decreased slightly by 11.8% to $317,500. Closed sales were down by 22%, and new listings by 16.9%. Based on overall prices, the housing affordability index for the Bronx was up by 8.2%. At the end of the first quarter, the Bronx had a 5.9-month supply of housing, a decrease of 23.4% from the same period in 2023.

Westchester County experienced a 12.9% hike in sales prices for all three property types, bringing the overall median price to $630,000. Closed sales decreased by 9.6%, followed by new listings at a 4.3% decline. Pending sales were up 17.2%. Because home sale prices remain high in the county, Westchester’s affordability index was down by 15.7%. As of the end of the first quarter, Westchester had a 2.3-month supply of homes, which was down 20.7% from last year.

Nationally, more than 90% of metro markets (205 out of 221, or 93%) posted home price gains in the first quarter of 2024. Thirty percent of the tracked metro areas (63 of 221) experienced double-digit price increases over the same period, up from 15% in the fourth quarter of 2023. Seven percent of markets (15 of 221) experienced home price declines in the first quarter, down from 14% in the previous quarter. The national median single-family existing-home price climbed 5% from one year ago to $389,400.

“Astonishingly, greater than 90% of the country’s metro areas experienced home price growth despite facing the highest mortgage rates in two decades,” said NAR Chief Economist Lawrence Yun. “In the current market, rising prices are the direct result of insufficient housing supply not meeting the full demand.”

Among the major U.S. regions, home prices swelled year-over-year 11% in the Northeast, 7.4% in the Midwest, 7.3% in the West, and 3.3% the South.