Manhattan real estate market at a glance

Higher borrowing costs and economic uncertainty were still in the picture, but buyers stayed active when homes were priced right. The median sale price rose 4.6% to $1,250,000, while the average price dipped 5.0% as fewer ultra-high-end closings pulled the average down. Homes that needed significant work or were priced ambitiously took longer to sell.

Condos vs. co-ops in Manhattan

Condos drove the quarter's growth, with sales and median prices both up more than 8%. Co-ops held steady, and demand for family-sized co-ops was especially strong: contracts for co-ops with four or more bedrooms jumped 45.8% from a year ago.

Manhattan luxury real estate: where the strength is

The biggest gains came at the higher end. Sales from $3 million to $5 million rose 32.2% to 374 deals, with similar growth for condos and co-ops. Above $10 million the picture was mixed, mainly because there simply weren't enough homes for sale at those prices after a strong first half of the year. Contract activity at the very top tells a different story: 14 contracts above $20 million were signed, up 75.0% from Q3 2025.

Contracts signed: a look ahead

Contracts are the best early signal of where closed sales are headed. Manhattan buyers signed 2,075 contracts in Q3 2026, down 12.0% from a particularly strong Q3 2025, when contract activity had jumped 20.6%. Year to date, the trend is still positive, with 3.1% more contracts signed through the end of September. The median contract price was unchanged at $1,195,000, while the average rose 6.1% to $2,074,370.

Buyers also committed to larger homes. Contracts for homes with four or more bedrooms rose 6.6%, and the $5 million to $10 million range held steady, up 0.9%.

Manhattan housing inventory hits a 10-year low for new listings

Supply is the story of the quarter. Only 2,251 new listings came to market, down 28.4% and the lowest third-quarter total in 10 years. Total active listings fell to 6,028, down 10.9% from a year ago and 8.9% from Q2. With fewer choices, some buyers and sellers took longer to find common ground. The average asking price of active listings rose 7.3% to $3,186,207, as more of what remains on the market sits at higher price points.

Manhattan neighborhoods: Q3 2026 submarket breakdown

Here's how each part of Manhattan performed, compared with the third quarter of 2025. The bar shows each submarket's share of closed sales this quarter.

• Downtown

  Chelsea, Tribeca, Soho, the West Village, Greenwich Village, the East Village, Gramercy, NoMad and more
  890Closed sales, +9.9%

  $1,792,500Median sale price, +21.5%

  $1,871Avg price per sq ft, +4.7%

  1,512Active listings, −10.4%

  Downtown was the standout of the quarter. It had the most closed sales, the highest price per square foot and a 21.5% jump in its median sale price. Condo sales climbed 26.5%, and the median condo price reached $2,700,000. See Downtown homes first on Compass.

• Upper East Side

  Carnegie Hill, Lenox Hill, the Upper East Side and Yorkville
  638Closed sales, −9.6%

  $1,350,000Median sale price, +4.0%

  $1,371Avg price per sq ft, +2.9%

  1,126Active listings, −10.4%

  Sales slowed from a year ago, but prices held up. Larger co-ops were in demand: the median 2-bedroom co-op rose 18.3% to $1,550,000, and the median 3-bedroom co-op rose 16.4% to $2,800,000. See Upper East Side homes first on Compass.

• Upper West Side

  Lincoln Square, Manhattan Valley and the Upper West Side
  589Closed sales, −0.5%

  $1,250,000Median sale price, −4.8%

  $1,460Avg price per sq ft, −2.7%

  814Active listings, −24.7%

  The Upper West Side had the biggest drop in supply in Manhattan, with active listings down 24.7%. Condo sales still rose 12.9%, and the median contract price climbed 4.6% to $1,355,000, so buyers here face fewer choices. See Upper West Side homes first on Compass.

• Midtown East

  Midtown, Murray Hill, Kips Bay, Sutton Place, Turtle Bay, Tudor City and the Garment District
  561Closed sales, +11.3%

  $950,000Median sale price, +2.2%

  $1,416Avg price per sq ft, +0.7%

  1,253Active listings, −8.9%

  Midtown East posted one of the biggest sales gains, up 11.3%, driven by co-ops, where sales jumped 22.1%. The median contract price rose 6.2% to $1,049,500. See Midtown East homes first on Compass.

• Upper Manhattan

  Harlem, East Harlem, Hamilton Heights, Morningside Heights, Washington Heights, Inwood and more
  238Closed sales, +15.5%

  $615,000Median sale price, +1.9%

  188Contracts signed, +2.2%

  549Active listings, −11.6%

  Upper Manhattan led all submarkets in sales growth, up 15.5%, with condo sales up 38.1%. It was also the only submarket where contracts signed rose from a year ago. See Upper Manhattan homes first on Compass.

• FiDi / Battery Park City

  The Financial District and Battery Park City
  115Closed sales, −24.8%

  $1,055,000Median sale price, −19.2%

  $1,369Avg price per sq ft, −4.5%

  400Active listings, +8.4%

  FiDi/BPC was the only submarket where inventory grew, up 8.4%, while sales and prices softened. For buyers, that means more choice and more room to negotiate than anywhere else in Manhattan. See FiDi / Battery Park City homes first on Compass.

• Midtown West

  Clinton/Hell's Kitchen and Hudson Yards
  114Closed sales, +0.9%

  $982,500Median sale price, +4.0%

  $2,437,325Avg contract price, +32.1%

  338Active listings, −5.6%

  Sales were steady, and the average contract price jumped 32.1%, a sign of more higher-end deals going into contract. The median 3-bedroom condo price rose 81.1% from a year ago to $3,849,500. See Midtown West homes first on Compass.

What the Q3 2026 market means for buyers and sellers

• Demand is firmly in place.Closed sales rose even with the fewest new listings in a decade, and year-to-date contracts are up 3.1%.
• Sellers with the right homes are in a strong position.With supply this tight, well-priced, move-in-ready homes stand out and attract competing buyers.
• Buyers are focused on quality and value.Homes that need work or are priced ambitiously are sitting longer, and 28% took more than six months to go into contract.
• The luxury market has momentum.Sales from $3 million to $5 million jumped 32.2%, and contracts above $20 million rose 75.0%.