New York has always been among the priciest rental markets in the country, but this year is forecast to be historical. And not in a good way. The vacancy rate has hovered around the 3% mark for years. But in 2008, the vacancy rate is below 1%, meaning that less than 1% of all rental units are available for rent at any given time. Less rental inventory means more competition for each available unit. To make matters worse, with apartment sales slumping and many people afraid to jump into the sales market, more people than ever are renting. This of course exacerbates the problem.
When inventory is so tight, landlords typically take advantage of the market. The average 1 bedroom, doorman apartment will set you back $2,700.00 a month, that is a $500.00 increase from just five years ago. This increase is forcing many to go further afield to find accommodation. Brooklyn, once the first stop for those priced out of Manhattan is now prohibitively high as well. So renters are forced to look to Queens, Staten Island, New Jersey, Yonkers, and Connecticut for reasonable prices. For many the long commute and inability to live in Manhattan is making a career in NY less than desirable.
When inventory is so tight, landlords typically take advantage of the market. The average 1 bedroom, doorman apartment will set you back $2,700.00 a month, that is a $500.00 increase from just five years ago. This increase is forcing many to go further afield to find accommodation. Brooklyn, once the first stop for those priced out of Manhattan is now prohibitively high as well. So renters are forced to look to Queens, Staten Island, New Jersey, Yonkers, and Connecticut for reasonable prices. For many the long commute and inability to live in Manhattan is making a career in NY less than desirable.
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