Regardless of economic conditions, affluent buyers seek New York City real estate for prestige, a cosmopolitan lifestyle and cultural enrichment. This includes those seeking turn-key hotel residences, which provide flexibility and security.
While Manhattan’s luxury market has slowed during the Covid-19 pandemic, many high-end properties are available to view and explore. Find your ideal luxury home on JamesEdition by utilizing filters such as price, location and amenities.
1. Luxury Condos
The luxury real estate market caters to a small but active buyer pool in New York City, offering everything from condos with lux amenities and towering penthouses to contemporary townhouses and vintage brownstones. And while the market may be shifting amid the looming threat of rising interest rates, one thing it seems to always have is a little bit of uncertainty.
But, as the real estate market continues to adjust to a changing environment, experts point to certain trends that are expected to carry into 2022.
A slew of issues has contributed to the slowdown in luxury sales, including a weak bonus season on Wall Street and high interest rates, which can pinch even affluent buyers. The latter issue is especially significant, since many investors use their bonuses as a down payment on a home purchase.
While the luxury market is still largely in good hands, sales of apartments priced $4 million and higher are well below last year’s numbers, according to Donna Olshan, president of Olshan Realty. “There’s a lot of pressure from a low bonus season, the fact that interest rates are going up and a decline in stock prices,” she says.
These factors are expected to have a major impact on 2023 sales, especially those of the priciest homes. The good news is that the market hasn’t seen a massive contraction in inventory, so buyers who are patient could still find their dream home this year.
But, according to John Walkup, chief operating officer of UrbanDigs, those hoping for a quick return to stability should think twice. “If you want to buy a high-end home, it’s best not to make a move until you know you’ll be in the property for at least five years,” he says.
That’s why he’s seeing more luxury buyers gravitating toward turn-key, managed hotel residences like Village Green West and 432 Park Avenue. These developments offer the flexibility of short term rentals, but the comforts of a permanent home, including state-of-the-art systems and services. For some, that’s just the ticket. “These buyers want the ultimate lifestyle experience,” says Douglas Elliman Realty’s Erin Boisson Aries. “They’re looking for pampering, comfort and security.”
2. Luxury Townhouses
If a condo isn’t your cup of tea, there are plenty of luxury townhouses to choose from in NYC. Most offer backyards for entertaining or gardening and are larger than co-op units. Plus, owning a townhouse doesn’t require board interviews or fees, and maintenance costs fall solely on the homeowner’s shoulders. As a result, many townhouse owners find that they save on maintenance and co-op monthly charges.
The New York City housing market has been slowed by low inventory and climbing mortgage rates, but experts say that luxury buyers will continue to spend on top-tier properties in the coming year. “While interest rates are a factor, it hasn’t affected luxury buyers,” says Pamela Liebman, president of Corcoran and featured realtor on Netflix’s reality skein “Buy My House.”
Liebman and other real estate agents have seen a shift in buyer preference. The number of clients seeking single-family homes has increased, while those interested in apartment living have decreased. “I think the demand for residential homes is growing as people want more space,” Liebman says. “People want to be able to entertain friends and family.”
A recent survey from Luxury Portfolio International found that luxury residential real estate is on pace to post a record-breaking 2023. Respondents said that despite a slowdown in the global economy, foreign investors are expected to continue to invest in New York City properties that provide privacy and safety, top-quality private schools, access to healthcare, high-quality infrastructure, and cultural enhancements.
If you are looking for a luxury home in New York City, visit JamesEdition to search for properties by price, neighborhood, and amenities. The site also has a map view, which makes it easy to find homes near you. You can also save your search to receive email alerts when new listings that match your preferences hit the market.
Toll Brothers offers a wide variety of luxury single-family home and townhome options in New York City. Their designs feature a modern take on Northeastern architecture, stone craftsmanship, and brick detailing. The company also offers resort-style single-family homes and active-adult condominiums in dynamic neighborhoods.
3. Luxury Homes in the Suburbs
New York City has always been a magnet for the rich and opulent, offering up everything from skyscraper penthouses to vintage brownstones to contemporary townhomes. And though it may seem as if the luxury real estate market is invulnerable to prevailing economic trends, recent sales figures indicate that wealthy buyers are still keen on purchasing NYC properties with price tags topping $10 million—even as interest rates rise and mortgage applications slump.
The most expensive neighborhoods in New York City continue to be Manhattan, but even within the borough there are a number of distinct, luxury-oriented areas. For example, Chelsea boasts a small, exclusive community of townhouses and apartment buildings with high-end finishes and amenities, such as outdoor space and fitness centers. Or, there’s the West Village, where upscale boutiques and restaurants attract a fashionable crowd and the neighborhood’s historic pre-war apartments have been well maintained.
Old industrial areas such as Tribeca can also be found in the luxury real estate market, with trendy lofts and posh condos commanding astronomical prices due to their highly sought-after location and coveted amenities. Soho is another prime residential neighborhood where old warehouses and commercial spaces have been converted into luxury apartments and lofts for a high-end, bohemian vibe.
And finally, Midtown Manhattan continues to rank among the top luxury neighborhoods in NYC thanks to its opulent office towers and sky-high luxury condominiums, like the soaring One57 and 432 Park Avenue, which recently closed with a record-setting $100.5 million penthouse sale. Other top luxury neighborhoods include the Upper East Side, which features a range of historic townhouses and brownstones with high-end finishes, and Noho, where the flurry of new luxury development sales have elevated prices.
Beyond Manhattan, the most expensive neighborhoods in the boroughs are a mix of red-hot Brooklyn enclaves (like Williamsburg and Greenpoint) and gentrified Queens neighborhoods (think Ditmars Steinway and Todt Hill). And in the surrounding suburbs, there are plenty of exclusive homes that fit the luxury real estate definition—from sprawling estates near Alpine to opulent mansions in Granite Springs.
4. Luxury Apartments
When it comes to luxury living in New York, apartments are the way to go. Whether it’s for an investment or to live like a star in the Big Apple, there are many options in Manhattan, Brooklyn and Queens. Some of these luxury apartment buildings offer top-of-the-line appliances, stunning views and upscale amenities. Some even provide concierge services and pet spas. And for those who don’t want to spend a fortune, there are also no fee luxury NYC apartments.
The luxury apartment market in New York City is hot, especially for millennials who want to live their best life without a mortgage. A white picket fence in Westchester just won’t cut it for these startup-founding, fashion-influencing millennials, who prefer the convenience of an urban lifestyle and the status symbol of a trendy address in one of NYC’s luxury apartment buildings.
While New York City’s luxury residential real estate market cooled this summer (as it does seasonally), the city remains well above 2019 sales numbers, and it’s still one of the most desirable places to invest in. The luxury apartment market is particularly active for investors and ‘buy to rent’ buyers looking for high-end, upscale buildings with all the amenities that come with them.
There are many luxury apartments to choose from in the city, with some of the most popular being One Hudson Yards, which was designed by Davis Brody Bond and is a LEED-certified building with 48 luxury rental units. Then there’s the Upper West Side’s VIA 57 West, which was designed by the Durst Organization and offers studio, one-, two- and three-bedroom floorplans with impressive river views. This luxury building also boasts a gym, dry cleaning valet, state-of-the-art fitness center and maid service, plus private terraces and balconies.
Other luxury apartment buildings in the city include TF Cornerstone’s 2 Gold Street, which was designed by Avinash Malhotra Architects and features 650 luxury rentals starting at $2,750/month. There is also the 555TEN tower, which was designed by the firm SLCE and offers a mix of studios, one-, two- and three-bedroom apartments. The building offers a fitness center, pet spa, sky lounge and rooftop deck, concierge and library.
