![\"The](\"https:\/\/www.newsbeep.com\/us-ny\/wp-content\/uploads\/2026\/07\/the-latest-report-says-manhattans-ultra-luxury-segment-had-its-weakest-week-in-months-after-ny-mayor.webp\")
The latest report says Manhattan’s ultra-luxury segment had its weakest week in months after NY Mayor Zohran Mamdani’s tax took effect. Image: Lois <\/p>\n The latest report says Manhattan’s ultra-luxury segment had its weakest week in months after NY Mayor Zohran Mamdani’s tax took effect. Image: Lois <\/p>\n
Manhattan\u2019s luxury property market has ground to a halt following the introduction of a new annual tax on second homes, with brokers pointing to New York\u2019s political climate and the levy itself as reasons wealthy buyers are pausing.<\/p>\n
Only one property priced above $10 million went into contract between July 6 and July 12, according to Olshan Realty\u2019s weekly luxury market report<\/a>, cited by the New York Post. <\/p>\n Brokers told the paper that three to five deals at that price point would typically be signed in a normal week. It\u2019s the weakest showing for Manhattan\u2019s trophy-home segment since late December.<\/p>\n The broader $4 million-plus market kept moving, with 29 homes entering contract during the same period \u2013 19 condos, six co-ops and four townhouses. But 20 of those 29 deals were under $6 million, underlining how concentrated the slowdown is at the very top of the market.<\/p>\n Compass broker Victoria Shtainer told the New York Post the pause reflects wealthy buyers reassessing New York\u2019s tax settings and political tone.<\/p>\n \u201cIt was shocking in a really bad way,\u201d she said.<\/p>\n \u201cThe luxury buyer [is] backing off and thinking twice.\u201d<\/p>\n Ms Shtainer, who works with international buyers and luxury condo developments, said high-net-worth purchasers are doing exactly what you\u2019d expect of sophisticated buyers facing new costs.<\/p>\n \u201cI think the $10 million-plus buyer is an educated buyer,\u201d she said. \u201cThey really do their homework. They understand taxes, property tax. They have advisers. This is something that they\u2019re considering, and they\u2019re looking at New York as a whole. Is it friendly for the wealthy buyer or not?\u201d<\/p>\n The timing lines up with New York\u2019s pied-\u00e0-terre tax, which targets non-resident owners of high-value second homes and was confirmed in the state budget in May, according to Forbes<\/a>.<\/p>\n Under the legislation, second co-ops and condos valued at $1 million or more face a 4 to 6.5 per cent tax in the first two years, while secondary single-family homes worth $5 million or more carry a 0.8 to 1.3 per cent surcharge. <\/p>\n After that transition period, a uniform scale applies across all property types, topping out at 1.3 per cent for homes worth $25 million or more. <\/p>\n Owners caught by the tax will be notified by August 30 and can contest their inclusion, with exemptions for primary residents, family-occupied properties and rentals.<\/p>\n Mayor Zohran Mamdani announced the policy from outside hedge fund billionaire Ken Griffin\u2019s Manhattan penthouse, framing it as a levy on \u201cthose who store their wealth in New York City real estate, but who don\u2019t actually live here.\u201d<\/p>\n Mr Griffin has warned it could put a $6 billion Citadel expansion in the city at risk, and President Donald Trump weighed in against the tax, according to Forbes.<\/p>\n Not everyone is convinced the softness is political. Jonathan Miller, founder of appraisal firm Miller Samuel, told the Post the top-end weakness matches broader second-quarter patterns, where the market above $10 million has cooled while the segment just below it has strengthened.<\/p>\n He cautioned against reading too much into a single week, noting Wall Street and tech wealth remain strong, and that similar behaviour is showing up in the Hamptons market.<\/p>\n \u201cIt\u2019s hard to say whether this is a trend,\u201d Mr Miller said. \u201cIt\u2019s also the summer and I wonder if it\u2019s just something seasonal that we\u2019re entering.\u201d<\/p>\n Still, he said the tax itself can\u2019t be ruled out as a factor.<\/p>\n \u201cThe pied-\u00e0-terre tax may be a driver of this pause.\u201d<\/p>\n The sole eight-figure deal signed last week was a condominium at 1122 Madison Avenue asking $21.8 million, according to Olshan Realty. The next-highest signed deal was a Chelsea condo asking just under $10 million.<\/p>\n This story draws on reporting from the New York Post<\/a> and Forbes<\/a>. Read the originals via the links above.<\/p>\n","protected":false},"excerpt":{"rendered":"The latest report says Manhattan’s ultra-luxury segment had its weakest week in months after NY Mayor Zohran Mamdani’s…\n","protected":false},"author":2,"featured_media":296163,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[75,84,83,9,24,63],"class_list":["post-296162","post","type-post","status-publish","format-standard","has-post-thumbnail","category-manhattan","tag-manhattan","tag-manhattan-headlines","tag-manhattan-news","tag-new-york","tag-new-york-city","tag-nyc"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/296162","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=296162"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/296162\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/296163"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=296162"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=296162"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=296162"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}