Home sale prices fell sharply in Brooklyn during the fourth quarter, according to a report from Prudential Douglas Elliman and Brown Harris Stevens.
According to the report, average home sale prices in Brooklyn fell by 7.5 percent to $529,640. The report indicated that this is due to a growing number of affordable co-ops targeting households from the lower income bracket.
"I'd characterize the Brooklyn market as stable but fragile," Miller Samuel CEO Jonathan Miller. "We're continuing in this two-year adventure to move sideways."
However, the decline in home prices in Brooklyn sparked a surge in purchases, said the report. It was found that total home sales increased by 6.1 percent in the fourth quarter as 1,558 transactions were recorded.
Housing market conditions in Brooklyn during 2012 are expected to be relatively in-line with trends seen in the past two years, Miller added.
As the prices of homes for sale in New York City continue to outperform national averages, investing in a home in the Big Apple could turn a healthy profit even if the market remains flat throughout 2012.
