Rental Rates During the Pandemic
The COVID-19 pandemic has resulted in record price cuts and concessions across New York City's rental market. Concessions such as a month or more of free rent have become popular, along with landlords agreeing to cover broker fees. Broker fees in New York can add an additional 15% to a yearly lease. In January, Manhattan saw a peak of nearly 26,000 available apartments for rent. Many renters moved to the suburbs during this time, as they could not afford to maintain Manhattan rents. This number dropped by more than 25% in May, down to just over 19,000 available apartments in Manhattan.
The Outlook for NYC Rentals
New York is going through a price reset as much of the country is seeing wildly fluctuating rental rates. It appears that New York City has hit its bottom regarding rental rates and concessions from landlords. Concessions are slowly being pulled back, whereas some buildings would advertise multiple months for free and now offer only one or two months. Rents are also back on the rise, increasing nearly 9% from April to May. This trend looks to continue as the city continues to rebound from the pandemic.
How Does This Affect Me?
As people start to move back to Manhattan and New York City as a whole, New York is still not out of the woods. Thousands of New Yorkers still face the potential of losing their homes as the eviction moratorium is ending soon. Those who are facing eviction or foreclosure may be eligible for a share of a $2.4 billion emergency rental assistance program that was recently launched by the state of New York. The state started to accept applications for assistance from this fund on June 1, 2021. If you are facing eviction, foreclosure, or have other questions related to real estate in New York, then call us so we can help!
Get Professional Assistance
To schedule a consultation with an experienced attorney at The Law Offices of Melvin Monachan, call us at (347) 389-1682 or contact us online.