Williamsburg, Greenpoint Home Prices Jump As Borough-Wide Sales Slump

Home prices in Williamsburg and Greenpoint grew more in the last 12 months than prices in any other Brooklyn area, according to a new report.

The average sales price in the two neighborhoods increased 12.7 percent from the second quarter of 2007 through the second quarter of 2008 to $663,946; and the average sales price per foot increased 20.3 percent over the same period to $445.

These annual increases were greater than those in other Brooklyn neighborhoods. The Williamsburg-Greenpoint median price also increased annually, though by a relatively small 9 percent.

The report, an inaugural Brooklyn market report from brokerage Prudential Douglas Elliman and appraisal firm Miller Samuel, tracked deals that closed in the quarter ending June 30.

In an e-mailed analysis of the report, its author, Jonathan Miller, CEO of Miller Samuel, ascribed the Williamsburg-Greenpoint price jumps "to the significant activity of new development" in the neighborhoods.

At the same time that Williamsburg-Greenpoint prices jumped, home sales in the neighborhoods, like in the rest of Brooklyn, plummeted during the second quarter.

The number of home sales in Williamsburg and Greenpoint was down quarterly 12.9 percent and annually nearly 30 percent. For the borough, sales dropped 26.4 percent quarterly, 43.6 percent annually.

That was the theme throughout the second-quarter report—generally mild price fluctuations (save for Williamsburg-Greenpoint) amid slumping sales.

In Brooklyn entirely, the average home price increased both quarterly and annually about 2 percent to $588,441 by the end of the second quarter. The median declined less than 2 percent in each period to $525,000.

Other notable stats from the report:

• Condos were much more expensive than co-ops. The average condo price was $601,280 in the second quarter. The average co-op cost $332,250. The median condo price was $514,725; the co-op's was $255,000.
• The average sales price of one- to three-family homes was $654,614 and the median $594,000. Sales were down annually and quarterly by double-digit percentages.
• Eastern Brooklyn had the cheapest home prices. The average sales price was $500,925 in the second quarter; the median, $499,902.
• Northwestern Brooklyn was the most expensive area, with an average price of $820,693 and a median of $673,101.

We'll link to the report when it's online.