T
he Brooklyn real estate market showed remarkable resilience in Q4 2024, with a slight dip in closed sales offset by a notable increase in contract signings. This 3% annual rise in contract activity highlights the borough's enduring appeal and continued demand from buyers.

    As inventory grew across all price segments and bedroom categories, coupled with rising median prices, Brooklyn's attractiveness as a place to live became even more evident. The market's solid foundation is poised to drive positive momentum into 2025.

    The year ended on a strong note, with contract signings up 13% compared to the previous quarter. However, closed sales declined by 8% year-over-year (YOY), mainly due to a significant drop in resale co-op closings, which fell 14% YOY. Resale condos and new developments also saw modest declines of 4% each.

    Despite fewer closings, sales volume only decreased by 1% YOY to $1.158B. Inventory expanded for the third consecutive quarter after two years of annual declines, with a total of 1,427 active listings in Q4 2024 – 24% below the ten-year average for fourth quarters.

    South Brooklyn experienced the largest annual percentage gain in listed inventory, driven by a 65% increase in resale condo listings and nearly tripled new development listings. Active listings grew YOY across all price segments, except the $350-$500K range, with the largest increase seen in the $750K-$1M segment (up 64%).

    Inventory also expanded across all bedroom types, with three+ bedrooms up 21% YOY.

    Strong demand drove prices higher, with Brooklyn's median price increasing by 9% YOY to $795K. The average price per square foot rose 11% to $1,109, the second-highest figure on record. A growing share of sales above $2M contributed to an 8% increase in the average price to $1.051M.

    Resale co-op median prices increased by 8% to $430K due to a higher proportion of sales above $750K, particularly in Brooklyn Heights, Park Slope, and Prospect Heights. Median and average resale condo prices fell 3% and 4%, respectively, but average price per square foot rose 4%.