CITI HABITATS Q2 2014 RENTAL MARKET REPORT

June 2014 Facts:

• The average Manhattan apartment rented for $3,470 during June 2014, the highest this average has been since we began tracking this statistic in January 2002.  The previous record was set in August 2012, when the average was $3,461.

 

• Rents increased for all apartment sizes month-over-month:  2% across the board for studio, one and three bedroom homes, and 1% for two bedroom units.

• The Manhattan vacancy rate declined – from 1.17% in May, to 1.10% in June.  However, the borough’s vacancy rate is unchanged year-over-year.  In June 2013, the rate was also 1.10%.

• During June 2014, 6% of leases signed included a landlord concession, down from 7% the month prior.

Q2 2014 Facts:

• When comparing Q2 2014 with Q1 2014, average rents for studio units increased the most, by 4.1%.  The increase was not as substantial for one-bedroom homes, which increased in price by an average of 1.5%.  Rents for three-bedrooms rose by 1.0%; while in contrast, rents declined 0.3% for two-bedroom homes.

• Year-over-year, Manhattan rents increased across the board.  From Q2 2013 to Q2 2014, average rents for studio apartments increased 1.5%.  For one-bedroom units, the average rent increased 1.7%.  Rental pricing for two-bedroom homes increased the most when compared to last year, with an average rise of 2.0%.  Finally, rents for three-bedroom homes increased the least, with an average increase of 0.8%.

• When examining vacancy rates, we found 1.25% of apartments to be vacant during Q2 2014, down from 1.54% during Q1.  However, conditions for apartment seekers were more favorable during the most recent quarter than they were a year ago.  During Q2 2013, only 1.13% of Manhattan apartments were vacant.

• During Q2 2014, 7% of transactions brokered by Citi Habitats included an owner-paid incentive, down from 12% during Q1.**  Incentives helped landlords drive traffic to their properties during the wintery months of the first quarter, but incentives gradually began to dissipate as demand for housing increased as the year progressed.

Full report available here

 

** Typically these concessions take the form of one month of free rent or payment of the broker’s
fee. 

Posted In: New York City Neighborhood News
Tagged: manhattan apartment, manhattan co-op, Manhattan condo, manhattan coop, Manhattan Real estate, manhattan real estate agent, manhattan real estate broker, New York city apartment, New York City Real estate, new york city real estate broker, upper west side apartment