New York is the most expensive city in the United States when it comes to renting a flat. The average rent for a two-room kitchenette there was $ 2,810 a month. The city thus surpassed San Francisco. The number of new leases signed last month in Manhattan, Brooklyn and Northwest Queens was at its highest in July in at least a decade.
According to the real estate portal Zumper, housing rents in New York are returning to pre-pandemic levels. Two rooms with a kitchen cost slightly more than San Francisco, where the cost is $ 2,800.
New York tops the rankings for the first time
Since Zumper started quoting rental prices in 2014, this is the first time New York has risen to the top spot. Two years ago, rents in San Francisco were more than $ 800 higher.
“While both cities saw rents fall as people left their homes in the first days of the pandemic, things were different in recent months. New York City rents have risen almost 20 percent this year and San Francisco by less than 5 percent.” – noticed the news portal “Gothamist”.
The discrepancy, he estimated, may be due in part to the removal of many workers to San Francisco Bay Area who have quit their jobs in the city altogether. On the other hand, there has been a rapid recovery in the rental market in New York.
New York – will rental prices fall?
According to a recent report by real estate firm Douglas Elliman, the number of new leases signed last month in Manhattan, Brooklyn and Northwest Queens was at its highest in July in at least a decade. This is especially true in those parts of Manhattan that experienced an exodus of wealthy residents in the first days of the pandemic. In some areas, rents are now above pre-epidemic levels.
“Gothamist”, citing the economist Nancy Wu, who is, inter alia, adviser to the New York Mayor’s Office of Management and Budget, points out that the trend is due to landlords’ exploiting stifled demand and trying to make up for the time and money lost in the pandemic by raising prices and removing discounts.
– Potential tenants should be prepared for more difficult negotiations in the next few months as rents in New York continue to rise. (…) However, I expect that price increases and landlords’ expectations will normalize as we move towards the colder months – predicted Wu.
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