NYC Real Estate Market Reports
Manhattan Monthly Report
May 2026
May 2026: The Best Month for Manhattan Contracts in Three Years
Deals above $3M hit a ten-year May high. Inventory fell to its lowest May level since 2017.
Manhattan recorded 1,190 signed contracts in May 2026, up 12% year over year, 8% above April, and 8% above the ten-year May average. This was the strongest month for contract activity in three years and the first double-digit annual gain since April 2025. Condo contracts led the rebound, rising 23% year over year. Co-op contracts rose 5%. Average days on market fell to 102, down from both April and May 2025, and 16% below the historical May average. Well-prepared buyers are not hesitating when the right property comes to market.
Strength Across Every Price Range Below $5M. Over $5M Slipped Slightly.
All price segments under $5M posted year-over-year gains in May. The under-$1M range rose 8% to 502 contracts. The $1M to $2M band grew 13% to 311 contracts. The $2M to $3M segment rose 16% to 152 contracts. The $3M to $5M range posted the strongest gain among mid-to-upper price points, up 35% to 135 contracts, supported by strong resale activity downtown and uptown. Contracts above $5M fell 5% year over year to 90 deals, though that segment still ran 10% above the ten-year May average. The dip at the very top is the only blemish in an otherwise broad-based month.
Condos Up 23%. Co-ops Steady at Plus 5%.
Condo contracts surged 23% year over year to 672, the clear driver of the month's gains. Co-ops posted a more modest but still positive 5% increase to 518 contracts. Unlike Brooklyn, where condos and co-ops are telling opposite stories, Manhattan's two product types are moving in the same direction. The condo strength is partly structural: new development and luxury resale at competitive price points are drawing committed buyers. The co-op story is quieter but real, with approximately 30% of co-op contracts closing above asking price in May, compared to roughly 10% a year ago. Co-op buyers in Manhattan are competing.
Where Manhattan Buyers Are Showing Up
Downtown led all submarkets in volume with 346 contracts, up 4% year over year. A steady result in the borough's most active corridor, where a combination of condo inventory, new development, and resale activity sustains consistent demand.
Midtown posted 228 contracts, up 39% year over year, one of the two strongest annual gains in the borough. Midtown has historically been more sensitive to shifts in buyer confidence, and May's result suggests that buyers who had been hesitating are moving. The improvement here is meaningful.
The Upper East Side recorded 257 contracts, up 2% year over year. Essentially flat in a submarket that typically anchors demand across the borough. Steady is the right word.
The Upper West Side came in at 218 contracts, up 10% year over year. A solid gain in a consistently active submarket with a loyal buyer pool. Co-ops close here regularly above ask, and the May data reflects that ongoing demand.
Upper Manhattan posted 90 contracts, up 13% year over year. Continued strength in a submarket where relative affordability and improving inventory are drawing buyers who need more space than the core can offer at their price point.
Financial District and Battery Park City recorded 51 contracts, up 38% year over year. The second-strongest annual gain in the borough, driven by condo activity and the continued appeal of this waterfront corridor for buyers seeking value relative to Downtown proper.
Inventory at a Nine-Year May Low. Price Per Square Foot Down on a Mixed Read.
Active listings totaled just over 6,900 units, down 6% year over year and 4% below the ten-year May average. This was the fifth consecutive annual decline and the lowest May inventory level since 2017, excluding the pandemic year of 2020. Both condo and co-op listings fell versus last May. With fewer choices available and buyers clearly active, the supply side is as constrained as it has been in nearly a decade.
Average price per square foot fell 4% year over year to $1,772. That number requires context. Co-op price per square foot dropped 16% to $1,300, but the Corcoran report attributes the decline largely to a statistical distortion: May 2025 included several co-op transactions above $4,000 per square foot that did not repeat this May. Condo price per square foot also fell 4% to $1,930. The price per square foot figures do not reflect a market under pricing pressure. They reflect a comparison period that was unusually elevated.
Co-ops Closing Above Ask at Three Times Last Year's Rate.
Overall negotiability averaged 2.3% below asking price, an improvement of one full point versus May 2025. Condos averaged 4.1% below ask. Co-ops averaged just under 1% above ask. Thirty percent of co-op contracts in May closed above their last asking price, compared to roughly 10% a year ago. For buyers competing on well-priced co-ops in Manhattan right now, multiple offer situations are no longer the exception.
What May Actually Means
Manhattan posted its best contract month in three years on the back of compressed inventory, motivated buyers, and luxury demand that is running well above historical averages. The $3M to $5M segment's 35% annual gain and the over-$5M segment's performance above the ten-year average are not aberrations. They are the signal of a market where well-capitalized buyers, facing limited supply, are transacting at elevated levels.
For sellers in Manhattan, the May data makes the case clearly. Inventory is at a nine-year low for this time of year. Days on market are running 16% below the historical average. Co-op buyers are closing above ask at three times last year's rate. The market is not waiting for rates to fall further before engaging. It is engaging now, with the rate environment it has.
For buyers, the picture is competitive but not closed. Condo negotiability of 4.1% below ask means there is room to negotiate on the right property. Co-op competition is real and intensifying. The window where a prepared buyer can move into the market at reasonable terms is open, but the inventory to choose from is thinner than it has been in almost a decade.
The direction in Manhattan is clear. Volume is up, supply is down, and the buyers who are active are prepared to transact.
Thinking About a Move?
The data is one thing. How it affects your specific block, building, and price point is another. That is what fifteen years in this market is for.