Official figures have confirmed that the prices for residential properties across Manhattan have fallen to hit a "reasonable" level. The rates have now hit the low level recorded in 2005, and buyers are excitedly looking around to bag the best deals while they can.

For the past year's fourth quarter, median prices fell by nearly 15% as compared to 2008's same period, and the average per square foot rate fell by 17%. Despite the freezing weather, buyers jumped out to explore and purchase, which sent closings surging by about 50% compared to the earlier year.

The fourth quarter data has been shared by brokerage firm The Corcoran Group and PropertyShark. com.

"I just can't deny the improvement that we've had. There's been so much action... The risk of systemic failure has been priced out of the market", said Noah Rosenblatt, a broker and publisher of UrbanDigs. com, a blog focused on Manhattan real estate.

Despite a fall in prices and a surge in buying activity, weakness has managed to prevail for building of new projects.