The New York metro area housing market in January 2025 presents a dynamic landscape characterized by rising prices and shifting inventory levels. The Median Sales Price has reached $765,000, marking a 4.1% increase year-over-year. This upward trend is mirrored in the Median List Price, which stands at $799,000, reflecting a 6.5% increase from the previous year. These figures indicate a robust demand for housing in the region, despite broader economic uncertainties.

Price Per Square Foot has also seen a notable rise, with the median Price Per Square Foot at $458.73, up 7.4% year-over-year. The Median List Price per square foot is $509.21, showing a 3.7% increase. These metrics suggest that buyers are willing to pay more per unit area, potentially driven by limited inventory and competitive market conditions.

In terms of sales activity, the number of Homes Sold has increased by 6.8% year-over-year, totaling 4,291 transactions. However, Pending Sales have decreased slightly by 1.2%, indicating a potential slowdown in future sales activity. New Listings have also declined by 1.6%, with 5,696 properties entering the market. This reduction in New Listings, coupled with a 10.2% decrease in inventory to 15,699 homes, suggests a tightening market.

The Months of Supply, a critical indicator of market balance, has dramatically decreased by 60% year-over-year to 3.7 months. This significant drop indicates a shift towards a seller's market, where demand outpaces supply, leading to quicker sales and potentially higher prices.

The Median Days on Market have decreased by 6% to 56 days, reflecting faster transaction times. The average sale to list ratio has improved slightly by 0.3% to 99.4%, suggesting that homes are selling closer to their asking prices. Additionally, the sold above list ratio has increased by 1.1% to 28.2%, indicating that a significant portion of homes are selling for more than their list price.

Price Drops have seen a modest increase of 0.5%, now at 19.5%, which may suggest some sellers are adjusting expectations in response to market conditions. Meanwhile, the percentage of homes going off the market in two weeks has risen by 2.1% to 16.1%, further emphasizing the competitive nature of the current market.

Overall, the New York metro area housing market in January 2025 is characterized by rising prices, reduced inventory, and strong sales activity. While some indicators suggest a potential cooling in future sales, the current environment remains favorable for sellers, with demand continuing to drive price increases and quick sales.