Over the past century, real estate prices have consistently increased, with values appreciating nearly 1,000 times each decade. Prices doubled from the 1950s to the 1960s and almost doubled again from the 1960s to the 1970s. After New York City emerged from bankruptcy in the late 1970s, it caught the attention of international buyers, leading to a nearly sixfold increase in prices during the 1980s and more than a doubling in the 1990s. By 2016, the average sale price had reached $1,470 per square foot, while today’s average rent in Manhattan is $4,374.
Several factors fuel optimism about the future of New York real estate. The city’s strong local economy, supported by a range of industries, continues to employ New Yorkers and draw highly skilled professionals from across the nation and the globe. As a 24/7 global cultural hub, New York offers an unparalleled lifestyle with its rich array of cultural events, universities, restaurants, museums, theaters, and more.
image in the public domain via the US library of congress’s prints and photographs division
100 Years of NYC Price History
The 1910’s:
The surge in demand for housing, World War I
– Sale: $8 PPSF, Rent: $40/Mo.
The 1920’s:
The “Roaring Twenties”
– Sale: $15 PPSF, Rent: $60/Mo.
The 1930’s:
The 1929 Stock Market Crash and “The Great Depression”
– Sale: $5 PPSF, Rent: $45/Mo.
The 1940’s:
World War II
– Sale: $8 PPSF, Rent: $50/Mo.
The 1950’s:
The post-World War II Housing Boom
– Sale: $12 PPSF, Rent: $60/Mo.
1960’s:
The first condo building, World’s Fair, Building Boom
– Sale: $25 PPSF, Rent: $200/Mo.
1970’s:
World Trade Center Completed, Near Bankruptcy, Finishes Stronger
– Sale: $45 PPSF, Rent: $335/Mo.
1980’s:
Co-op Conversion Boom, “Black Monday” Stock Market Crash
– Sale: $250 PPSF, Rent: $1,700/Mo.
1990’s:
From Recession to Lofts and the “Silicon Alley” Dot-Com Boom
– Sale: $590 PPSF, Rent: $3,200/Mo.
2000’s:
9/11 to Housing Boom to Lehman
– Sale: $1,200 PPSF, Rent: $3,800/Mo.
The 2010’s:
Quick Rebound, Tax Credit, and Housing Seasons
– Sale: $1,070 PPSF, Average Rent: $3,500/Mo.
2020
COVID-19 Pandemic
– Sale: $1,142 PPSF, Average Rent: $3,625 /Mo.
(Source: RealPlus, REBNY, New York Times & Jonathan Miller)
