In New York City, the housing market remained firmly in the hands of cash-ready buyers in the first half of 2025. New data shows that more than half of all residential sales were completed without financing. The latest report from the Center for NYC Neighborhoods highlights a market where financial flexibility, rather than mortgage accessibility, is increasingly determining who can buy a home in the nation’s largest city.
Between January and June 2025, 17,924 sales were recorded across Manhattan, Brooklyn, Queens, and the Bronx, according to deed filings and transfer tax records collected through the Automated City Register Information System (ACRIS). Of those transactions, 10,825 were all-cash purchases, representing just over 60% of total sales. Staten Island was not included in the analysis due to reporting limitations.
While New York has always been home to wealthy buyers and global investors, the prevalence of cash transactions this year underscores how dramatically financial strength is influencing purchasing power. Only two neighborhoods, Harlem and Washington Heights, recorded more mortgaged purchases than cash deals, making them rare exceptions in an otherwise liquidity-driven market.
A Surge in Total Sales Masks a Decline in Cash Share
Although cash deals rose in raw numbers, climbing approximately 7% from late 2024, their share of the market dropped notably. This decline, however, is not the result of fewer cash buyers but rather a significant rise in overall sales.
During the second half of 2024, when the market slowed and inventory remained tight, cash purchases represented an astonishing 80% of the city’s 12,531 recorded sales. The first half of 2025 saw the market regain momentum, bringing transaction volume above 17,000 and softening the cash share to around 60%.
The Center for NYC Neighborhoods emphasized that this shift reflects changing market conditions rather than reduced interest from cash buyers. Mortgage-dependent buyers returned in greater numbers as inventory improved and sales activity picked up, but they still face strong competition from cash-backed purchasers.
Economists Point to Wealth and Equity as Key Drivers
Industry experts say the ongoing dominance of cash is directly tied to the city’s economic and housing landscape.
“New York’s luxury segment is extremely strong, and we know cash buyers tend to be wealthier individuals or owners with substantial equity from prior home sales,” explained Joel Berner, senior economist at Realtor.com. “That dynamic makes it much more difficult for first-time buyers or anyone who needs a mortgage to compete.”
High mortgage rates continue to add pressure. Buyers who depend on financing face not just higher monthly payments but also the risk of delays, or deal failures, when lenders require additional documentation or underwriting. For sellers weighing multiple offers, cash inevitably looks safer and faster.
Queens Leads in Cash Volume, but the Bronx Takes the Crown for Cash Dominance
Queens stood out with the highest number of all-cash closings during the first half of the year, recording 4,132 cash purchases. Neighborhoods like Bayside, Whitestone, and College Point, known for stable residential streets and long-term homeowners, accounted for a large portion of these transactions. The median price for a cash purchase in Queens was $850,000, reflecting the borough’s mix of affordability and demand.
The Bronx, meanwhile, posted the most dramatic imbalance between cash and financed sales. For every home purchased with a mortgage, 17 were bought with cash. In Council District 13,covering Pelham Bay, Throgs Neck, Soundview, and West Farms, there were 320 cash sales and only five financed ones.
According to Berner, the reason is straightforward: “More affordable boroughs tend to attract more buyers, and intense competition naturally benefits cash purchasers.”
Brooklyn followed with 3,250 cash transactions, coupled with a median sales price of approximately $1.1 million. Manhattan, as expected, saw high-value deals dominate. Of its 2,256 cash purchases, the median sales price hovered at $1.63 million. Nearly 90% of Manhattan homes listed above $3 million were purchased without financing, a testament to the city’s enduring luxury market.
Why Sellers Prioritize Cash, Even Over Higher Offers
For most sellers in New York City, choosing a cash buyer is not simply a preference; it’s a strategy.
Cash deals typically eliminate financing contingencies, appraisals tied to loan approval, and the risk of last-minute lender pullouts. These buyers often promise a streamlined closing process that can be completed in a fraction of the time required for a financed purchase.
Many sellers are willing to accept slightly lower purchase prices in exchange for that certainty. Cash buyers, in turn, sometimes negotiate small discounts, betting that sellers will trade a bit of profit for speed and simplicity.
Studies from Realtor.com have shown that cash offers are most prevalent at both ends of the price spectrum, among lower-cost homes, often purchased by investors, and among luxury properties, favored by high-net-worth individuals or those seeking second homes.
A National Trend With New York at the Forefront
Nationwide, cash sales made up roughly one-third of home purchases in the first half of 2025. While that figure reflects strong investor activity and an aging population with built-up home equity, New York’s share remains one of the highest in the country.
Homes priced under $100,000 were particularly likely to be purchased with cash, with nearly two-thirds of those properties selling without financing. Meanwhile, the majority of U.S. homes priced at $2 million and above also went to cash buyers, mirroring the pattern seen in Manhattan.
New York State saw some of the most substantial increases in cash sales this year, driven heavily by the luxury home market and an influx of well-capitalized buyers competing for limited high-end inventory.
A Market Divided by Purchasing Power
The latest findings paint a picture of a deeply divided housing market, where cash-rich buyers enjoy advantages that mortgage-dependent shoppers increasingly cannot match. Elevated borrowing costs, strict lending standards, and fierce competition have created conditions where many prospective homebuyers find themselves outbid before they even begin.
As New York City progresses through the second half of 2025, housing analysts expect cash buyers to maintain their influence. Unless mortgage rates drop significantly, or inventory rises enough to soften competition, sellers will likely continue favoring offers that promise stability and speed.
For now, cash remains the clearest path to securing property in New York’s intensely competitive real estate landscape. It reaffirms the city’s long-standing status as a market where financial power often determines who gets a place they can call home.
