NYC Housing Market: Prices, Trends, Forecast 2025-2026

Currently, the NYC housing market data shows that buyers are seeing more options and sellers are adjusting their prices to meet the moment. This isn't just a simple shift; it's a complex interplay of factors influenced by mortgage rates, inventory levels, and renter behavior, creating a dynamic environment for everyone involved.

I've been following the ins and outs of the New York City real estate scene for a while now, and what I'm seeing this fall feels different – in a good way for many. The data from StreetEasy for October 2025 paints a picture of a market that’s responding, adapting, and, dare I say, becoming a little more balanced. Let’s dive into what this means for you, whether you're looking to buy your dream apartment or rent a place to call home.

NYC Housing Market Trends in 2025

The Sales Market: More Homes, Sharper Pricing

This past October was a solid showing for the NYC sales market. We saw 2,191 homes go under contract, which is a pretty significant jump – 10.4% more than last year. Why the buzz? A big reason is that mortgage rates have been ticking downward. This makes financing a home purchase a bit more affordable, and it’s definitely bringing buyers out of the woodwork. In fact, the number of new contracts from September to October jumped by a whopping 29.4%, far more than the usual seasonal increase. This is the strongest fall market activity we've seen since 2021.

Where the Action Is: Borough Breakdown

• Manhattan is still the powerhouse, driving a lot of this activity. They saw 1,060 homes enter contract, an 11.5% increase from last year. Interestingly, it's the priciest third of the market that’s really taking off, with sales up a massive 31.5%.
• Brooklyn saw 580 homes enter contract, a slight dip of 2.4% compared to last year. Still, it’s a robust market, and sellers are clearly seeing interest.
• Queens had a great October, with 396 homes entering contract, a 17.5% increase. This boost is partly thanks to a strong performance in co-op-heavy areas like Forest Hills, Jackson Heights, and Rego Park.

Sellers, Sellers Everywhere!

It’s not just buyers who are active; sellers have also been busy adding to the market. In October, 3,539 homes were newly listed across the city, an 8.2% increase from a year ago. Manhattan saw nearly half of these new listings, again showing the strength and volume in their luxury segments. Brooklyn also had a significant influx of new inventory with 1,006 homes hitting the market, a 17.5% rise, as sellers aimed to cash in on buyer demand.

Having more homes on the market is fantastic news for buyers. It means more choices and, importantly, more leverage. When there are plenty of options, sellers know they need to be competitive. This leads us to pricing.

Pricing Strategies: Sellers are Getting Smarter

Despite the strong buyer interest and the liveliest fall market in years, asking prices haven't gone wild. The median asking price for homes across the city hovered around $1.05 million in October, pretty much the same as last year. This stability is a direct result of sellers being really smart about their pricing.

In October, homes typically sold for 97.9% of their last asking price. This means the average discount buyers could expect was about 2.1%. That’s very similar to 2021, another period of high buyer competition when rates were low. What this tells me is that sellers aren't just throwing numbers out there; they're pricing thoughtfully to attract buyers without leaving money on the table. They’re aiming for that sweet spot that maximizes interest and avoids the need for steep price cuts later on.

Negotiating Power: Where Buyers Can Find Deals

While the overall market is stable, there are pockets where buyers might find a bit more room to negotiate. Neighborhoods like the Financial District and Chelsea in Manhattan, despite having higher asking prices, showed sellers willing to be more flexible, often for a quicker sale. In the Financial District, for example, homes took an average of 87 days to go into contract, a significant drop from 168 days last year, suggesting sellers were eager to close the deal.

However, it's crucial to remember that pricing is very neighborhood-specific. Take Bedford-Stuyvesant in Brooklyn, for instance. Some homes there actually sold for more than asking, but the median sale-to-list ratio was 96.4%, meaning half the homes sold with a discount of over 4%. This divergence highlights how important it is to look at specific micro-markets.

Here’s a quick look at some neighborhoods where sellers accepted lower offers on average in October 2025, based on StreetEasy data:

Neighborhood	Borough	Median Sale-to-List Ratio	Median Discount Off Asking Price	Median Sale Price
Financial District	Manhattan	96.1%	3.9%	$1,150,000
Bedford-Stuyvesant	Brooklyn	96.4%	3.6%	$995,000
Chelsea	Manhattan	96.9%	3.1%	$1,365,000
Bay Ridge	Brooklyn	97.3%	2.7%	$694,900
Midtown East	Manhattan	97.4%	2.6%	$699,000

This data includes NYC neighborhoods with at least 15 sales in October.

The Power of Perception: Visibility Sells Homes

In this market, with more listings available, getting your property noticed is key. StreetEasy’s data consistently shows that homes that are viewed more tend to sell for higher prices. In October, the top 20% of most-viewed listings across NYC sold for a median of 100% of their asking price. On the flip side, the least-viewed homes sold for a median of 96.7%. This is why working with an experienced agent who knows how to market a property effectively is so crucial. They can help highlight your home's best features and ensure it stands out from the crowd.

The Rental Market: Still Tight, but with More Sweeteners

Now, let's talk rentals. The citywide median asking rent in October was $3,950, an 8.2% increase from last year. This might sound high, and it is, but the rental market remains resilient despite cooling labor market conditions. Demand is still strong, and vacancies are low.

However, there's a slight twist: the number of newly listed rentals actually fell by 2.7% compared to last year. This is a trend I've noticed and it makes sense. With the economy feeling a bit uncertain, renters who can afford to stay put are doing just that. Why move if you don't absolutely have to? This reluctance to move contributes to the lower inventory of available rental units.

Inventory Crunch and Borough Dynamics

Across the city, rental inventory dropped by 6.8% year-over-year.

• Manhattan continues to be the tightest, with inventory down 11.5%. The median asking rent held steady at $4,600, barely budging from September to October, which is typical as the busy summer leasing season winds down.
• Brooklyn's median asking rent rose 7.2% to $3,752, and inventory fell 4.0%.
• Queens saw its median asking rent increase by 6.7% to $3,200, with inventory down 5.1%.

As rents climb in pricier areas, renters are naturally looking to Brooklyn and Queens, which has put pressure on those markets too, leading to higher rents and lower inventory there as well.

Concessions: Renters Get a Break

Here's the silver lining for renters: concessions are on the rise. You're more likely to find deals, like a month or two of free rent, now than at any point since 2021. About 23.5% of rentals across the city offered at least one concession in October, up from 18.5% last year. This is largely driven by new developments entering the market, which often come with incentives to attract tenants.

• The Bronx is leading the pack for concessions, with a remarkable 43.2% of rentals offering them, up significantly from last year.
• Even in competitive markets like Manhattan and Brooklyn, the share of rentals with concessions increased to 20.6% and 25.6%, respectively.

This is a key insight: new developments are playing a crucial role. They are helping to absorb some of the demand and are offering incentives to fill units. The Bronx is a standout example, being the only borough to see an increase in rental inventory year-over-year, with a 24.4% jump thanks to new construction.

The expectation is that mortgage rates will likely remain above pre-pandemic levels for the foreseeable future. This means many renters who might have dreamed of buying will probably continue to rent for now. As vacancy rates in older buildings stay low, new developments will be vital in easing the pressure on renters.

Key Data Snapshot: October 2025 NYC Housing Market

Sales Market Overview (October 2025)

Metric	NYC	Manhattan	Brooklyn	Queens
Median Asking Price	$1,050,000	$1,456,254	$1,099,000	$674,700
YoY Change Asking Price	-0.5%	-1.3%	0.0%	+0.9%
Homes for Sale	17,243	8,966	4,239	3,009
YoY Change Homes for Sale	+12.8%	+11.9%	+11.2%	+14.1%
Homes Entering Contract	2,191	1,060	580	396
YoY Change Contracts	+10.4%	+11.5%	-2.4%	+17.5%
Median Days on Market	68	75	56	71
Change in Days on Market (YoY)	±0	-18	+6	+16

Rental Market Overview (October 2025)

Metric	NYC	Manhattan	Brooklyn	Queens
Median Asking Rent	$3,950	$4,600	$3,752	$3,200
YoY Change Asking Rent	+8.2%	+8.2%	+7.2%	+6.7%
Homes for Rent	32,409	14,289	11,973	4,759
YoY Change Homes for Rent	-6.8%	-11.5%	-4.0%	-5.1%
Share of Rentals with Price Cuts	18.1%	23.7%	14.6%	14.5%
YoY Change Price Cuts	-2.0pp	-1.5pp	-2.4pp	+0.4pp
Share of Rentals Offering Concessions	23.5%	20.6%	25.6%	21.9%
YoY Change Concessions	+5.0pp	+2.0pp	+8.4pp	+2.9pp

NYC Housing Market Forecast: What Might 2026 Look Like?

Looking ahead to 2026, based on the trends we saw in October 2025, I anticipate a market that continues to evolve, rather than making any sudden dramatic shifts. Here’s my educated guess:

Sales Market Forecast: Continued Stability with Potential for Slow Growth

• Sustained Buyer Activity: The trend of declining mortgage rates, even if they stabilize rather than continuing to fall sharply, will likely keep buyer interest strong. The affordability unlocked by slightly lower rates, coupled with the increased inventory, means buyers will continue to have more options and a better chance of finding what they need. I don't see a sudden surge in rates that would completely shut down demand.
• Seller Adaptability: Sellers have demonstrated they can adapt their pricing strategies. In 2026, this adaptability will likely continue. We might see a slight uptick in the median sale-to-list ratio from the current levels, meaning sellers might get a hair closer to their asking price on average, but I don't expect a return to the frenzied bidding wars of years past unless rates drop significantly again. The “smart pricing” approach will remain key.
• Inventory Levels: With more homes entering the market and slightly longer, though still historically reasonable, times on market for some properties, inventory should remain relatively healthy. This is good news for buyers looking for choice. We might see year-over-year increases in inventory continue, though perhaps not at the same high pace as seen in October.
• Pace of Appreciation: I expect modest price appreciation in 2026. We won't likely see the double-digit percentage increases of boom years. Instead, think of a more sustainable, steady climb, perhaps in the 3-5% range citywide, with variations by borough and neighborhood. Manhattan’s luxury market might see slightly stronger growth than other segments, while more affordable areas could see demand push prices up incrementally.
• Focus on Well-Priced, Well-Marketed Homes: The trend of heavily viewed homes selling at or above asking will likely persist. In 2026, sellers who accurately price their properties and invest in effective marketing will continue to have the advantage. Homes that are overpriced or poorly presented might linger, leading to price adjustments.

Rental Market Forecast: Rents Stabilize, Concessions Remain Key

• Rent Stabilization, Not Decline: While rent growth has been significant, I believe the rate of increase will likely slow down in 2026. The 8.2% year-over-year jump we saw in October is strong, but a more moderate pace of around 3-6% citywide seems more plausible as we move through next year. This is influenced by the cooling, though still solid, demand among renters and the impact of new developments.
• New Developments Drive Concessions: The trend of new developments offering concessions will almost certainly continue and could even expand. As more units come online, particularly in areas with significant new construction like parts of Brooklyn, Queens, and the Bronx, developers will continue to use free rent and other incentives to attract tenants and fill buildings. I anticipate the share of rentals offering concessions to remain elevated, perhaps even pushing towards 25-30% citywide at certain times of the year.
• Inventory Mix Shift: We might see a slight increase in the overall number of rental units available, driven by those new developments. However, the inventory in existing buildings, particularly in desirable Manhattan neighborhoods, could remain tight, keeping rents there higher. The Bronx's positive inventory growth is likely to continue, offering more options in that borough.
• Renter Strategy: Renters will likely continue to be savvy about seeking out concessions. Those with flexibility in their desired neighborhood might find better deals by looking slightly further afield or focusing on newer construction. The days of needing to offer over asking on a standard apartment lease are likely behind us for now, replaced by a focus on negotiating terms and concessions.

Overarching Factors for 2026

• Economic Health: The broader economic picture, including job growth and inflation, will inevitably play a significant role. If the economy remains relatively stable, the housing market will likely follow suit. A significant downturn could put downward pressure on both sales prices and rents.
• Mortgage Rate Trajectory: This is the biggest wild card. If rates unexpectedly plummet again, we could see a surge in buyer demand and potentially faster price appreciation. Conversely, a sharp increase in rates would cool the market considerably. My forecast assumes rates will remain relatively stable or see only minor fluctuations.
• Affordability Constraints: Even with more options, New York City remains an expensive place to live. Affordability will continue to be a major factor for both buyers and renters, guiding their decisions and influencing demand in different market segments.

In essence, I see 2026 as a year for continued normalization after a period of significant flux. Buyers will benefit from more choices and sellers’ willingness to price strategically. Renters will find relief through rising concessions, even as overall rents remain high. It's not going to be a market of dramatic swings, but rather one of steady adaptation and opportunity for those who are well-informed and strategic.