NYC Real Estate: Out-of-State Buyers Dominate as Locals Take a Backseat

Out-of-State Buyers Flood NYC Real Estate Market

New York City's real estate landscape is changing, with a growing number of buyers hailing from outside the city and even beyond the state. According to a recent report by PropertyShark, only 77% of homes sold in the first half of 2024 were purchased by NYC residents, a decline from 81% a decade ago.

This trend signifies a significant shift in the market, with more than one in 10 homes now being bought by out-of-state buyers. While New Jersey, California, and Florida remain the top source of out-of-state buyers, North Carolina and Nevada have seen a dramatic increase in their purchase activity, with buyers from those states increasing their investment elevenfold and tenfold, respectively.

Interestingly, the number of foreign buyers has significantly decreased compared to a decade ago. While 10% of out-of-state sales in 2014 were to international entities, that number has plummeted to just 1% in 2024. This decline is attributed to a combination of factors, including increased travel restrictions and a shift in investment strategies.

PropertyShark senior writer and report author Eliza Theis notes that this shift indicates a growing interest in NYC real estate among investors and homebuyers from other states, rather than foreign investors.

Within New York State, residents of Nassau County lead the pack as the most active out-of-borough buyers, followed by Westchester and Suffolk County homeowners.