The crumbling New York City real estate market has continued apace during the third quarter, after more than half of homes sold in Manhattan during the second quarter closed below asking price – the worst Q2 tally since 2009.

In that same September week, Manhattan got 662 additional listings, the third-highest total for any week in StreetEasy's data.

“We're at a period in the sales market where sellers have been incredibly ambitious with the prices they're asking.

They're having to come down and bring prices to where demand actually exists.” As we pointed out earlier this year, sales of luxury apartments (those that cost $5 million or more) plummeted more than 31% over the first six months of this year, forcing sellers to slash price (and developers, who have neglected the sub-luxury market in favor of supposed higher margins at the top end, to eat losses).

Steven James, CEO of Douglas Elliman, provided an apt summary of the dynamics at play in the contemporary NYC housing market.

Categories: ZH