More than one in 10 homes for sale in New York City are now being bought by out-of-state buyers, trumping the share of property purchases made by New Yorkers.
In a report released by Property Shark, the company found that nearly half of out-of-staters who purchased a property in New York City were from New Jersey, California, or Florida.
New Jersey buyers made the largest share of purchases in New York City, participating in 345 deals in the first half of 2024. Overall, they accounted for 19% of all purchases in NYC. However, the study noted that the number of buyers from New Jersey fell from 27.6% a decade ago. The cash infusion by New Jerseans into the NYC housing market also declined to $441 million--$47 million lower than in 2014.
California buyers followed New Jerseans as the second out-of-staters with the most number of real estate purchases in NYC in the first half of 2024. Buyers from California represented 13.4% of out-of-state buyers this year, up from under 10% a decade ago. By cash infusion, Californians injected $352 million in the first six months of 2024, up by $107 million in the same period in 2014.
Florida buyers were in the third spot, accounting for 219 out-of-state deals recorded this year. In contrast, there were only 189 buyers from Florida in 2014. Floridians spent $315 million in real estate purchases in NYC this year compared to $286 million in 2014.
How Many Locals Bought Real Estate Property in NYC?
In the first half of 2024, NYC residents represented 77% of the city's buyer pool. That is down from 81% in the same period in 2014, the report noted.
Residents from Brooklyn, Manhattan, and Queens accounted for most of the in-state sales in NYC. Queens residents represented 3,247 of all home purchases while Brooklyn residents accounted for 3,041 of all sales in the first six months. Sales involving Manhattan residents were 38% lower compared to 2014.
Notably, the number of foreign buyers also declined in the first half of 2024, with international entities only purchasing one in 50 properties in NYC. They represented one in 10 out-of-state sales in 2014.
"Their spot has been taken over by investors [and] home buyers from other states," Eliza Theiss, senior writer at PropertyShark and author of the report, told The Gothamist.
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