Brooklyn’s real estate landscape has shifted markedly in recent years, a transformation Tali Berzak, a realtor at Compass, has witnessed firsthand. She points to renewed demand for townhouses — valued for their space, flexibility, and investment potential — particularly in neighborhoods such as Bedford-Stuyvesant, Crown Heights, and Bushwick. As prices and competition intensify in traditional brownstone enclaves, buyers and developers are increasingly looking beyond those core areas, reshaping both the market and the neighborhoods themselves.
Redefining How Townhouses Are Presented
Berzak’s marketing approach for Brooklyn townhouses broke from the standard formula. Instead of generic, hotel-style staging, she worked with creative stager Jason Saft to design interiors that resonated with the borough’s buyers — people who often already lived in Brooklyn and had specific tastes. “Brooklyn buyers have this easy-going, mid-century modern style that they generally gravitate towards,” Berzak notes. “The staging matched their styling better than some of these more hotel-looking, West Elm-looking houses.”
The key, she found, was understanding the buyer pool: many were moving within Brooklyn, coming from neighborhoods like Park Slope, Cobble Hill, Williamsburg, or Greenpoint. “The houses weren’t speaking to them before,” Berzak says. By presenting homes authentically, she connected more effectively with prospective buyers.
She also introduced neighborhood establishment maps as a standard marketing tool for each listing. These maps highlight local restaurants, parks, subway lines, gyms, and shops, giving buyers a sense of daily life and making it easier to envision themselves in the neighborhood. “People want to know what’s around, not just what’s inside the house,” she explains. These take-home guides help buyers explore communities on their own terms.
Pandemic-Era Shifts
The pandemic’s impact on housing preferences has been especially pronounced in Brooklyn. As remote work became the norm, buyers started prioritizing space for home offices and flexible living arrangements. “Since 2020, we’ve all come to this need for an office,” Berzak observes. People who once would have bought a two-bedroom now look for three-bedroom homes or seek layouts that accommodate work and family needs.
Townhouses, with their multiple floors and garden apartments, fit these new requirements. A typical configuration might include an owner’s duplex above a garden-level rental, or larger layouts with four or five bedrooms. This setup offers both the space to grow and the ability to offset costs with rental income. “Buyers are being really thoughtful about their future,” Berzak notes. “They’re thinking, ‘How many times do I really want to move in New York City?’ If I buy a townhouse, I can either grow into the space, or I have rental income to offset my mortgage.”
Multi-Generational Solutions
Rising prices have also led to new approaches for families seeking to stay close while managing costs. Berzak has seen an increase in multi-generational arrangements, particularly involving parents whose adult children are moving to New York from other cities, such as Atlanta. In these situations, parents may purchase a townhouse and occupy the garden-level apartment while their children live upstairs. “We’re seeing parents help their older children who can’t necessarily afford to buy in New York City because it’s expensive,” she says. This setup provides both proximity and a practical response to the city’s high entry costs.
Creative Property Features
A recent listing at 29 Lefferts Avenue demonstrates how Brooklyn’s townhouse market is evolving to include more creative and flexible property types. The property features a four-story main house plus a separate two-story garage building accessed via a shared driveway — an unusual arrangement for Brooklyn. “With Eric Adams and the City of Yes, these spaces can potentially become second dwellings,” Berzak explains, referring to city initiatives encouraging housing growth. “You could make that into another house, and it does have access to the street. You wouldn’t have to go through your house to get to this dwelling.”
As zoning regulations relax to allow more accessory dwellings, buyers are increasingly seeking properties with these expansion or income opportunities. This trend is especially appealing to those seeking both a place to live and a way to generate additional rental revenue.
Market Momentum Builds in 2026
After a turbulent 2025 marked by uncertainty and slowdowns, the Brooklyn townhouse market is showing renewed strength as 2026 begins. “It’s been a very busy January for us,” Berzak reports. “We’re seeing a lot of people that have been on the sidelines looking for potentially months, if not years, pull the trigger.”
Several factors are driving this uptick in activity. Interest rates, while still elevated compared to a few years ago, have come down from their recent peaks. “They’re settling into that and now finally making the move,” Berzak says, noting that buyers appear more comfortable making long-term decisions as uncertainty recedes.
The result is a sales environment characterized by pent-up demand, with buyers who had been waiting now actively searching for the right property. Townhouses that offer space, flexibility, and neighborhood appeal are moving quickly, especially in areas where prices remain more affordable than in Manhattan or in more established Brooklyn neighborhoods.
Developer Partnerships
Berzak’s business now centers on working with a core group of seven to eight house flippers and developers, who account for most of her transactions. This focus has enabled her to build strong relationships within the renovation and development community, resulting in smoother sales and a deeper understanding of what today’s buyers want.
The geographic footprint has also expanded. While her early work focused on Bed-Stuy and Crown Heights, buyer demand and developer activity have since expanded into Bushwick, Clinton Hill, Fort Greene, Park Slope, Windsor Terrace, and Prospect Lefferts Gardens. As buyers are priced out of traditional brownstone neighborhoods, they are increasingly open to exploring these emerging areas, where renovated townhouses offer both value and community.
Looking Ahead
Brooklyn’s townhouse market now sits at the intersection of changing lifestyle needs, creative financing, and evolving neighborhoods. With remote work still common and housing costs high, buyers are prioritizing properties that provide both living space and income potential. Features like garden rentals, accessory dwellings, and flexible layouts are no longer luxuries; they are essential selling points.
For buyers willing to look beyond established neighborhoods and embrace the townhouse model, Brooklyn continues to offer opportunities that balance urban living with the space and versatility modern households demand. Success in this market depends on understanding not just the properties themselves but the character and amenities of each neighborhood, a process made easier by agents who combine local expertise with innovative marketing.
As 2026 unfolds, the market’s momentum suggests that the appeal of Brooklyn townhouses will endure. Sellers who adapt to changing buyer expectations and highlight both property features and neighborhood strengths are likely to see strong results. For buyers, the challenge is to move quickly when the right opportunity appears, as competition for well-located, thoughtfully renovated homes shows no sign of slowing. The renaissance of Brooklyn’s townhouse market is set to continue, driven by a new generation of buyers seeking space, flexibility, and a sense of place in New York City.
