Wealthy Buyers Say, 'Mamdani Who?'

"Sure, they believed in the enduring appeal of New York and dutifully recited the mantra about how resilient the real-estate market was and how it had weathered any number of crises (9/11, the 2008 recession, COVID, the mansion tax) only to emerge stronger than ever. But they'd also seen clients depart or downsize to pieds-à-terreafter the pandemic and were terrified that Mamdani's win would make others do the same."

"So far, brokers say, if there's been any noticeable change, it's been among buyers, who are hoping that a Mamdani victory will mean falling prices. One broker told me she has two clients in the market for $4 million-plus Manhattan apartments who are eagerly anticipating price drops after next week. Someone else knew buyers who were optimistic that a Mamdani win might finally be the thing to dampen the Brooklyn townhouse market."

After Zohran Mamdani won the Democratic primary, some high-end brokers feared wealthy residents would leave or downsize, weakening luxury demand. Brokers report buyers are most affected, anticipating price declines and underbidding in expectation of a Mamdani victory. Examples include buyers pursuing $4M-plus Manhattan apartments and hope to dampen the Brooklyn townhouse market. Broker Dolly Lenz warned that promises to reduce policing could push townhouse owners toward doorman buildings and trigger many townhouse listings. Some buyers are already submitting aggressive low offers; one offered 18% under ask on a doorman Nomad one-bedroom citing mayoral race uncertainty.

Read at Curbed