Brooklyn Townhouses Outperform Manhattan in Latest Data

Brooklyn townhouses continued to outperform Manhattan condominiums in the first quarter of 2026. The median Brooklyn townhouse sale price rose 8.1% year-over-year to $2.28 million, according to a joint report from Douglas Elliman and Miller Samuel. Manhattan condo median prices were essentially flat at $1.78 million over the same period.

The divergence has been a multi-year pattern, but the Q1 gap widened further as demand for single-family and owner-occupied townhouse stock in the brownstone belt of northwest Brooklyn firmed. Neighborhoods including Park Slope, Brooklyn Heights, Carroll Gardens, and Boerum Hill all posted year-over-year price gains above 10%.

"Brooklyn townhouse buyers are largely insulated from the softness that characterizes newer condominium supply," said Jonathan Miller, president of Miller Samuel Real Estate Appraisers. Miller noted that townhouse inventory in prime Brooklyn neighborhoods remains structurally constrained, with new construction essentially impossible in the historic districts.

The Manhattan condo segment faced different dynamics. StreetEasy data showed 3,842 new-development condo units in active marketing as of March, with average days on market at 148 in the $2 million-plus tier. The absorption pace for luxury condos has slowed as international buyer activity moderated and domestic buyers grew more rate-sensitive.

Single-family Brooklyn houses also outperformed. The median brownstone-category sale in Crown Heights and Bedford-Stuyvesant rose 11.3% year-over-year, though prices there remained well below the prime northwest Brooklyn averages. Realtor Christie Burnett of Brown Harris Stevens said Crown Heights activity "has become a benchmark for outer-belt Brooklyn demand."

Supply dynamics contributed to the divergence. StreetEasy reported Brooklyn townhouse active listings at 392 at the end of March, up just 4% year-over-year. Manhattan condo listings over the same period rose 11% to 6,823 units. Townhouse shadow inventory from estates and off-market transactions has also remained limited.

Financing characteristics also differ. Brooklyn townhouses in prime neighborhoods transact at roughly 45% cash, according to Douglas Elliman agent surveys, compared with 32% on Manhattan condos. Jumbo mortgage availability has tightened at the upper-end price tiers, further supporting the relative strength of cash-heavy segments.

Not all Brooklyn segments shared the strength. Outer-Brooklyn condo inventory delivered during 2024 and 2025 continues to face price pressure, particularly in East New York and Sunset Park. Williamsburg new-development condos, where pandemic-era buildings competed for luxury-buyer attention, saw average price-per-square-foot declines of 4.1% year-over-year. Douglas Elliman brokers expect the divergence between townhouse and new-condo segments to persist through the year.