Are New York City Home Prices Going Up or Down?

New York City’s housing market is one of the most watched—and most misunderstood—real estate markets in the country. Whether you're a homeowner, a future buyer, or an investor, the big question on everyone’s mind is simple:

Are NYC home prices rising or falling right now?

The answer isn’t black and white. Different parts of the city are moving at different speeds. But there are clear trends that help us understand where the market is heading. This guide breaks it all down in plain language so you can make smart decisions in 2025 and beyond.

Why NYC Home Prices Matter

Housing prices affect more than real estate agents and landlords—they impact:

• How much buyers can afford

• How fast homes sell

• Whether owners should sell now or wait

• How competitive the market will be

• The cost of renting versus owning

Even small price changes in NYC can mean tens of thousands of dollars in difference to buyers and sellers. That’s why keeping up with the market is so important.

What’s Happening with NYC Home Prices Right Now?

Across New York City, home prices have generally been stable to slightly rising, depending on neighborhood and property type. Here’s what’s driving that:

1. Low Housing Inventory

There are not enough homes for sale to meet demand in many neighborhoods. When supply is low and demand is high, prices tend to stay strong or rise. This is especially true in outer-borough markets like:

• The Bronx

• Queens

• Parts of Brooklyn

Buyers are competing for fewer listings, which keeps pricing firm.

2. Higher Mortgage Rates—But More Serious Buyers

Mortgage rates have been higher than previous years, which slows some buyers down. But the people still shopping are motivated and qualified. Instead of crashing prices, higher rates have mostly slowed price growth, not caused a major drop.

3. Population & Job Growth

NYC continues to see strong job recovery in major fields like:

• Healthcare

• Education

• Technology

• Hospitality

• Public services

More jobs mean more renters and buyers entering the housing market, which supports prices.

Are Prices the Same Across All Boroughs?

Not at all. New York City is really five markets in one.

Manhattan

• Prices are stable, with luxury units seeing the most activity.

• Inventory is higher than in other boroughs, so buyers have more choices.

• Condos continue to outperform co-ops in demand and resale strength.

Brooklyn

• Popular neighborhoods are still in high demand.

• Prices lean slightly upward, especially for well-renovated properties.

• First-time buyers are looking farther from downtown areas for affordability.

Queens

• A strong seller’s market in many neighborhoods.

• Limited inventory keeps prices firm.

• Single-family homes and condos are moving fastest.

The Bronx

• Still one of the most affordable boroughs, attracting first-time buyers.

• Prices are rising modestly, especially for single- and multi-family homes.

• Competition is strong when homes are priced correctly.

Staten Island

• More space and lower prices draw families and remote workers.

• Prices have been steady to slightly increasing with moderate demand.

Will NYC Home Prices Go Up or Down in 2025?

While no one can predict the future perfectly, current trends suggest:

Prices May Continue to Rise Slowly If:

• Inventory stays low

• Job growth continues

• Mortgage rates stabilize or decrease

Even a small drop in mortgage rates could bring a new wave of buyers into the market—which typically pushes prices up.

Prices Could Flatten or Dip If:

• A large number of homes suddenly hit the market

• Mortgage rates go much higher

• The economy slows down

Any dip, however, is expected to be mild—not a crash.

What This Means for Buyers

If you're waiting for a major price drop, you may be waiting a long time. Even small price increases can make homes more expensive later—especially if rates fall and competition rises.

Buying sooner may save more than waiting, depending on your budget and neighborhood.

Tips for buyers:

• Get pre-approved early

• Know your max budget

• Be ready to act quickly on well-priced homes

• Explore outer boroughs and co-ops for savings

What This Means for Sellers

Right now, sellers are still in a relatively strong position—especially if:

• The home is in good condition

• The property is priced correctly

• Inventory is low in the area

Well-priced homes continue to sell, and some receive multiple offers.

If mortgage rates fall later, more buyers may jump into the market—possibly increasing demand even more.

Will NYC Ever Become “Affordable”?

NYC has always been one of the most competitive markets in the world. While some neighborhoods offer better value than others, affordability is more likely to come from:

• Buyer assistance programs

• First-time homebuyer grants

• SONYMA loans

• FHA financing

• Co-op and condo alternatives

• Buying outside Manhattan

That’s why education and planning matter just as much as timing.

The Bottom Line

Right now, NYC home prices are:

• Not crashing

• Generally stable

• Slowly rising in many areas

• Shaped by low inventory and steady demand

Whether you’re buying or selling, the smartest move is to understand your neighborhood, your financing options, and your long-term goals. To connect with me directly, contact me at 917-254-2103.

For your FREE Home Evaluation to learn the value of your home, your Homeowner Resource Guide, or your Home Buying/Down Payment Assistance Guide, use this link:
https://bit.ly/45URvuV
or text HomeswithJustin to 85377.