Year-to-date, the Manhattan luxury market registered 1,198 contracts signed at $4 million and above, an 8% decline over 2022. The 2023 volume was $9,984,115,836 compared to the 2022’s $10,320,149,900. Condos outsold co-ops, 770-269, with 27 condops and 132 townhouses in the mix.

The year felt more like a grind—longer days on the market (615 days) and greater negotiability (9%), which is defined as the difference between the original asking price and the last asking price before a contract was signed. The days on market had a lot to do with a backlog of very expensive, new-development condos. Anecdotally, if you talk to brokers, deals just took longer to get across the finish line.

In many ways, 2023 looks like the flip side of 2022. To recap, 2023 saw high mortgage rates--- as high as 8%, which only started falling in November and December. Rates are now hovering in the high 6% range. At the same time, the year-to-date S&P 500 soared to 24%. Compare that to 2022, which rode the wings of low mortgage rates, particularly in the first half of the year, even though the S&P 500 declined a dismal 18%.

As usual, the rich got richer: The trophy market saw 240 deals at $10 million and above, 5 more than last year. In trophy sales, 2023 ranked No. 3 in the last decade.

Speaking of the last decade, 2023 falls exactly in the middle of the pack, with a No. 5 ranking. Nothing can compare to the record-setting pandemic-rebound year of 2021 (1877 contracts signed) or the Golden Years in new development--2013-2015---but it did outperform each year from 2016 to 2020.

If you consider that the year was marked by high mortgage rates, 2 wars, and global instability, the Manhattan luxury market held up pretty darn well.

On that note, we want to wish all of you Happy Holidays and a healthy, safe, and prosperous 2024!

CLICK HERE To View the Olshan Luxury Report for the week of December 18-24, 2023.