BROOKLYN — The median price of Brooklyn apartments surpassed $600,000 in the first quarter of 2016 — the highest in almost eight years and a 15 percent jump from the same time a year ago, according a report from The Corcoran Group released Thursday.
The $606,000 median, which represents the middle point of the market, is the highest figure seen since the third quarter of 2008 during the Great Recession when it was $644,000. This is first time the borough has exceeded the $600,000 threshold since the end of 2009, the report found.
High demand and low inventory at lower price points are among the factors contributing to the record high median price, according to Corcoran's executive vice president of Brooklyn and the East End, Frank Percesepe.
Corcoran's Brooklyn report also revealed a whopping 50 percent spike in listings for new developments since the same time a year ago. But it's still a seller's market for buyers who are looking for affordable homes priced at less than a million dollars, since those aren't as readily available.
"We still need a lot more inventory at the lower price points," Percesepe said. "Two bedrooms under a million dollars, we can sell left and right."
The high median prices can also be attributed to a growth in Brooklyn's resale market, the report finds.
The median price for the resale of co-ops jumped 32 percent in the past year, and 15 percent for condos during the same time period.
Park Slope and Gowanus combined had a median price of $973,000. Properties in those neighborhoods were in high demand with an average of just 46 days between hitting the market and going into contract, the Corcoran report found.
Grouped together, Bedford-Stuyvesant, Crown Heights, Lefferts Garden and Bushwick saw a 40 percent annual increase in sales with an overall median price at $510,000.
More buyers are foregoing short commutes and picking homes further away from Manhattan to fit their budget, Percesepe said.
"I think it's amazing to see the type of business happening in Bedford-Stuyvesant," he said. "The amount of renovation going on there is unbelievable."
Brooklyn's rental market also continues to grow as median rental prices increased almost 3 percent in between March 2015 and March 2016, a rental report from Douglas Elliman released Thursday shows. Average rental prices for Brooklyn continue to hover just over $3,000.
But after a banner year for real estate records in 2015, Brooklyn is on its way to "reaching new heights," Ideal Properties Group managing director Aleksandra Scepanovic said in the agency's new report. Their report focused on Brownstone and North Brooklyn's residential market.
The median sale price for Brooklyn homes within those neighborhoods crossed $1 million in the first quarter of 2016 after reaching $999,050 at the end of 2015, Ideal's report found.
