Want To Buy Manhattan's Real Estate? You'll Need $15.6B

NEW YORK CITY — Turns out rent isn't the only thing skyrocketing in New York City's real estate market.

Manhattan's sales volume and transactions hit record highs during the first half of 2022, according to a new study by Compass. Altogether, sales rose to $15.6 billion — the highest level in at least a decade, the study found.

Want to buy a Manhattan home on a teacher's salary? Fuhgeddaboudit!

The average sales price so far this year stood at $2.1 million in the second quarter, the study found.

"The record sales volume during the first six months of the year was primarily driven by leftover momentum from the 'Great Move' of 2021, with agreements on new developments signed late last year officially closing in Q2," the study states.

The study attributed the red-hot real estate market to "buy now to save later" tack by buyers concerned about rising housing costs and looming higher interest rates.

But there are signs that things are cooling off Contract activity declined and inventory increased in recent months, according to the study.

"A 16.2 percent quarter-over-quarter inventory surge, combined with higher mortgage interest rates, is likely to help cool price growth," the study states. "The changing market could also give buyers confidence that there is more room for negotiation after sellers were firmly in the driver's seat in recent years."

There are also signs that one doesn't need to be making Billionaires' Row money to buy an apartment.

Co-ops — which are traditional a more affordable option — accounted for 54 percent of all apartment sales, the study found. Still, the typical price of a co-op stood at $1.245 million, according to the study.

Read the full Compass study here.