Manhattan Luxury Home Sales Defy Predictions, Surge 25% After Mayoral Election

Signed contracts for Manhattan homes costing $4 million or more rose to 176 in November, a 25% increase from October's 141 deals, according to fresh data from brokerage Douglas Elliman and appraiser Miller Samuel. New signed contracts of more than $4 million increased at more than twice the rate of the overall market, the report noted. Olshan Realty similarly reported an uptick in Manhattan luxury buyers, with 17 contracts signed in the last week of November for Manhattan homes over $4 million, besting its 10-year Thanksgiving week average. The surge in luxury home sales in Manhattan comes as a surprise to some, particularly those who predicted a mass exodus of New York millionaires and billionaires following the election of Zohran Mamdani as mayor. However, real estate experts say the data suggests that the market is not as sensitive to politics as previously thought. "There is no Mamdani effect," said Jonathan Miller, president of Miller Samuel. "The luxury market is driven by fundamentals, not politics." In the aftermath of the mayoral election, some realtors and analysts predicted that a socialist mayor would lead to a brain drain of wealthy individuals fleeing the city for more conservative states such as Florida. However, the data suggests that this prediction was unfounded. According to a report by Douglas Elliman and Miller Samuel, signed contracts for Manhattan homes costing $4 million or more rose by 25% in November, compared to the previous month. The luxury market in Manhattan has been driven by a combination of factors, including low interest rates and a strong economy. Additionally, the city's diverse and vibrant culture, as well as its world-class amenities, continue to attract high-end buyers. "Manhattan remains one of the most desirable places to live in the world," said Howard M. Lorber, executive chairman of Douglas Elliman. "The data suggests that the luxury market is strong and resilient, and we expect it to continue to perform well in the coming months." The surge in luxury home sales in Manhattan is also a testament to the city's enduring appeal to high-end buyers. Despite concerns about affordability and gentrification, the city's luxury market remains a major driver of economic growth and development. As the city continues to evolve and change, it is likely that the luxury market will remain a key indicator of its overall health and vitality. In the coming months, the luxury market in Manhattan is expected to continue to perform well, driven by a combination of factors including low interest rates and a strong economy. As the city's real estate market continues to evolve, it will be interesting to see how the luxury market responds to changing economic and demographic trends.