Posts Tagged 'statistics'

Citi Habitats Releases December Rental Market Report

Average rents are up slightly in every single category. This is crazy to me: how can vacancies have risen as prices also rise? What about supply and demand? Some neighborhoods have seen quite a drop-off in prices, the LES and UES both saw fairly steep declines in the studio category but prices rose for one bedroom apartments, and overall studios were a weak category. Perhaps people are moving in with roommates rather than living alone? Soho and TriBeCa are now the most expensive neighborhoods, with the highest prices in all categories and the lowest vacancy rate. In contrast to the West Village, which seems to be declining in value somewhat.

A possible explanation for these price increases could be the impact that landlord incentives are having on the market. Many prospective tenants are going no fee and wind up paying a higher rent rather than a broker’s fee upfront. With the no fee option, rent for a specific apartment may be slightly higher (between 3-10%) and the cost of a broker’s fee is amortized over the life of the lease. Additionally, with many of the larger management companies offering one or two month’s free rent to entice potential tenants, on the books their rents are higher than the net monthly cost to the tenant.  Citi Habitats calculates these averages based on the amounts for which apartments actually rented and does not include the impact of any landlord-offered incentives on the net rent, thus accounting for the rise in recorded prices. If one takes landlord incentives into account there may actually be a decline in monthly net rents on a one or two year lease.

average-manhattan-rent-summary-december-2008

Citi Habitats December Market Report: Vacancy Rates by Neighborhood

This is one of my favorite parts of the market report–the breakdown by neighborhood. The big surprise is that the West Village now has one of the highest vacancy rates at 2.42% (up from .49% in August!) and the only neighborhood below 2% is Soho/TriBeCa.

manhattan-rental-vacancy-by-neighborhood-december-20081

How Much Did a Doorman Cost you in December 2008?

There have been price declines in every category of apartment, including Doorman buildings. Compared to October prices, all categories are down.

how-much-did-a-doorman-cost-you-in-december-2008

Media Coverage of Citi-Habitats October Market Report

Ny Observer:

“Still Gotta Pay to Live in Manhattan”

“Renter’s Market in Manhattan? You Betcha!”

Curbed:

“Cheap LES Studios Still Not That Cheap”

Exactly How Much Did a Doorman Cost You in August, 2008?

…and how much can you save living in a walk-up? The price of apartments in new development buildings with doormen actually rose slightly in relation to the statistics from June.

Manhattan Vacancy Rates By Neighborhood: August 2008

West Village bucking the trend, with a vacancy rate hovering around 50%. Vacancy highest in the UWS, unsurprisingly the vacancy rate in the Financial District and BPC is also higher than May.

See also: Manhattan vacancy rates by neighborhood, June 2008

Manhattan Vacancy Rates Continue to Rise.

Manhattan is still a place where people want to live and where many people have to live because of their jobs. In the late 1990’s, vacancies hovered around 4%, and anything under 5% is still considered to be an extremely tight market. We’ve all gotten used to a frenzied, feverish tone being attached to all things real estate, whether the market’s going up or going down. On this chart we can see the gradual and steady rise of vacancies since May. Anyone think we’re gonna hit 4% by the middle of winter?

See also: Manhattan Rental Market Vacancies, June 2008


About Me

Michelle Erfer is a licensed Real Estate Salesperson in New York City.
» About this blog
» See my latest listings
» Email me: merfer@citi-habitats.com