Rents Falling in Manhattan a Lot, Brooklyn Not So Much
Residential rents in Manhattan fell pretty much across the board last year, and incentives like a month’s free rent are becoming increasingly common. The head of Halstead’s rental division estimates that prices are down between 10 and 15 percent from the 2007 peak though the article’s author digs up “anecdotal evidence” that the number is…
Residential rents in Manhattan fell pretty much across the board last year, and incentives like a month’s free rent are becoming increasingly common. The head of Halstead’s rental division estimates that prices are down between 10 and 15 percent from the 2007 peak though the article’s author digs up “anecdotal evidence” that the number is more like 20 percent. One by-product of the weaker market is that many more landlords are now willing to pay a broker’s fee to land a tenant. In the past, slowing sales has often meant a tighter rental market, but that’s not always the case: People assume when sale slows down, rental will pick up, but that depends on what the source of this is, said Gregory J. Heym, the chief economist at Terra Holdings, which owns Halstead and Brown Harris Stevens. When you’re losing jobs, the rental market is also going to suffer. Echoing what we’ve been hearing recently, the rental market in Brooklyn has not softened as much. We’re not renting as fast as we would have expected, said Patrick McGrath, whose firm recently bought and started renting out The Standish in Brooklyn Heights. We’ve had to provide concessions — a free month rent, we pay the broker fee. But rents are around where we expected them to be. We’re in the ballpark.
A Month Free? Rents Are Falling Fast [NY Times]
Photo by turkeychik
He got it from a map, dave.
***Bid half off peak comps***
11217…where’d you get that figure??
but small 2 or 3 family buildings make up a large portion of the housing stock.
No, tybur6. I’m not kidding at all. $2,000/mo for a studio is dirt cheap. That’s like 10% of your monthly take-home, no?
***Bid half off peak comps***
“Not sure how they actually collect the data on brownstones that rent out 1-2 units which make up a large part of the Brooklyn renatl market.”
Just as a point of reference, Brownstones make up 5% of the housing stock in Brooklyn.
By reading this blog, one might forget that fact.
“Not sure how they actually collect the data on brownstones that rent out 1-2 units which make up a large part of the Brooklyn renatl market.”
Nice switcheroo, Team Bull. When discussing sales inventory, brownstones are scarce. When discussing rents, brownstones are abundant. Which one is it?
***Bid half off peak comps***
From above by Brownstones Half Off… “Our rents were never really that ridiculous.”
Really?! Are you kidding?
What – its not because of some retard willing to pay 1800 for a one bedroom in a bad area.
its because of some retards (plural).
You have area’s that are worth every penny (park slope, dumbo, brooklyn hights), but when someone pays a crazy amount in rent for a 1 bedroom bedsty apt…I have to scratch my head and try to figure out what they are thinking.
Not sure how they actually collect the data on brownstones that rent out 1-2 units which make up a large part of the Brooklyn renatl market.