New York City Rental Prices Continue to Rise, However Plateau Nears
Brokerage firm Douglas Elliman published their July rental report last week in conjunction with Miller Samuel Real Estate Appraisers & Consultants, and it featured several records and updates to market trend indicators.In Manhattan, average rental prices reached new heights: the latest figure of $5,588 represents the highest rate renters have ever paid for their units. Although the borough’s median rent ticked up by 6.0% compared to the month of June, the 15.7% increase seen in Brooklyn sets a record of its own at $3,950. Northwest Queens saw an even greater 19.0% jump in median rental prices, also achieving an all-time high.Across New York City, median, average, and net effective rents have each risen by more than 15% in the past 12 months.
The time of the year is the main impulse for these hikes, since July and August fall in the middle of peak rent season. However, Miller Samuel’s CEO Jonathan Miller highlights the notable decline in new leases last month, which could suggest that rental prices have hit their ceiling (New York Post). Miller, despite that, predicts that August’s rent statistics will surpass the records set in July. For reference, new leases fell by 6.0, 52.1, and 13.5 percentage points in Manhattan, Brooklyn, and Queens — this excludes lease renewals. Listings, in addition, stayed on the market longer in Manhattan and Brooklyn compared to last month, which also supports the forecast for a plateau.The Law Office of Marc Scolnick, P.C. covers every area of real estate, from investment properties and home purchases to foreclosure defense and estate planning. To learn more about our services, call us today at (718) 554-6445 to set up a FREE consultation.Sources: https://nypost.com/2023/08/10/manhattan-rents-soar-to-another-record-high-in-july-but-may-be-approaching-peak/https://millersamuel.com/files/2023/08/Rental-07_2023.pdf
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