Are home prices dropping or increasing in NYC in 2025?
New York City real estate in 2025 is seeing a gradual but steady rise in home values, despite signs of a buyer’s market and longer selling timelines. While affordability remains a concern, data shows moderate appreciation across boroughs, varying by neighborhood and property type. This blog highlights current trends, market dynamics, and what buyers and sellers can expect in NYC real estate this year.
According to Sparkly Maid NYC, as of 2025, the average rent in New York City is approximately $3,972 per month, marking a 2.1% increase from the previous year.
With both rents and home prices climbing, understanding market nuances is crucial for anyone considering a move in 2025.
Borough-by-Borough Home Price Trends
As of April 2025, the median home price in New York City stands at around $870,078—up 3.2% year over year. The price growth varies by borough:
Queens: 6.0% increase, median price around $717,600
Brooklyn: 2.9% increase, median price around $994,200
Manhattan: 2.4% increase, median price around $1.3 million
By property size, 2-bedroom homes rose 5.1% in value, while 5-bedroom homes jumped 6.9%.
Buyer’s Market Despite Rising Prices
Despite price increases, the market favors buyers. Homes are staying on the market longer, with the median listing age at 131 days—a 34.7% jump from last year. This gives buyers room to negotiate and leverage slower turnover to their advantage.
While nearly half of homes are selling near asking price, 39% are closing below list price, indicating a cautious seller mindset.
Key Factors Affecting the Market
Inventory Levels: Limited supply supports prices, but longer days on market hint at softening demand.
Mortgage Rates: With rates hovering around 7%, many buyers are holding off, leading to slower sales.
Economic Conditions: Inflation, tariffs, and broader economic instability continue to shape buyer behavior.
Shifting Demand: Outer boroughs and up-and-coming neighborhoods are outpacing some luxury Manhattan markets in growth.
Advice for Buyers and Sellers
Buyers can benefit from slower sales cycles by negotiating better deals. Sellers should price properties realistically and prepare for a potentially longer wait to close a deal.
Moving and Home Maintenance Recommendations
Whether you're buying or selling, hiring a reliable moving company can streamline the transition. Scheduling a one time cleaning before move-in or after move-out ensures the property is presentable and helps document its condition.
If relocating from another city like Austin, using an Austin Cleaning Service can help get your former home ready for sale or rent.
Regular cleanings, including one-time services, help preserve your property's condition and value.
For eco-conscious homeowners, a Green Cleaning Service offers environmentally friendly options that are especially helpful during move-outs or turnovers.
The NYC real estate market in 2025 presents modest home price growth within a buyer’s market landscape. With longer listing times and increasing buyer leverage, both buyers and sellers must stay informed and strategic to navigate this complex environment successfully.
