Introduction to the NYC Housing Market
Cash is king when it comes to buying a home in notoriously pricey — and competitive — New York City.
An unprecedented 64% of Manhattan’s condos and co-ops sold in 2025 went to all-cash buyers, according to a new report released by Douglas Elliman, leaving buyers dependent on mortgages out in the cold.
The jaw-dropping figure was first reported by the New York Times.
Factors Contributing to All-Cash Deals
The dominance of all-cash deals was propelled by elevated borrowing costs and Wall Street windfalls.
Owning a slice of Manhattan is increasingly out of reach of buyers who rely on banks.
The cash trend upped the ante from 61% of deals in 2024, and last year’s sum is higher than any other year in the books of appraiser Jonathan Miller, who authored the report.
Luxury Market Trends
The trend was especially pronounced in the city’s luxury market. Cash deals made up almost 90% of sales over $3 million in 2025, according to the report.
Cash payments historically account for roughly half of all the city’s sales, Miller told the Times.
More than three years of elevated borrowing costs and lucrative Wall Street bonuses pushed even more well-to-do buyers to purchase their homes outright.
Ultra-luxury listings continued to reshape Manhattan real estate in 2025.
Even Downtown listings in areas like the West Village are commanding eight- and nine-figure offers.
Market Transformation
The city’s luxury market has transformed into an animal all its own.
Miller wrote in his Housing Notes newsletter that luxury prices “have structurally detached from the broader market over the past two decades,” although luxury rentals have not.
High-end deals seemed the carry the rest of the Manhattan market on its shoulders in 2025. The final quarter of 2025 saw co-op and condo sales above $4 million increase by 11.2% year-over-year — more than twice the rate of all other properties, the Times reported.
The city’s shrinking inventory met record-high prices in the fourth quarter of 2025.
Price Trends
Prices climbed ever-higher in the meantime. Manhattan’s declining inventory of co-ops and condos fetched a median price of $1.1 million in the fourth quarter, according to Miller’s report.
Even the language around these high-end deals has been upgraded, commanding loftier market designations like super- or ultra-luxury.
Median prices for co-ops remain half that of a condo — $825,000 versus $1.66 million — making them a more feasible target for mortgage-backed buyers. Co-op sales last quarter seem to reflect the friendlier market, documenting a year-over-year increase in sales more than double that of condos.
Conclusion
In conclusion, the NYC housing market, particularly in Manhattan, has seen a significant shift towards all-cash deals, with a record high of 64% of condos and co-ops sold in 2025 being all-cash transactions. This trend is driven by elevated borrowing costs, Wall Street windfalls, and the luxury market’s detachment from the broader market. As the market continues to evolve, it will be interesting to see how this trend affects the affordability and accessibility of housing in NYC.
FAQs
Q: What percentage of Manhattan’s condos and co-ops sold in 2025 were all-cash deals?
A: 64%
Q: What factors contributed to the increase in all-cash deals?
A: Elevated borrowing costs and Wall Street windfalls
Q: How has the luxury market affected the broader market?
A: Luxury prices have structurally detached from the broader market over the past two decades
Q: What is the median price of co-ops and condos in Manhattan?
A: $1.1 million for condos and $825,000 for co-ops
Q: How has the language around high-end deals changed?
A: It has been upgraded to include designations like super- or ultra-luxury
