Manhattan Apartment Rent Decrease findings in Manhattan from February to March
Apartment Renters in Manhattan are saying enough is enough and are giving up on high rising Manhattan real estate cost which appears to be responsible for rising apartment rent prices in the borough of Manhattan. This comes from market reports which were put together by a reputable real estate agency namely citi Habitat.
For the past 24 months, Manhattan has experienced increase in its median real estate rent prices but as of March things have changed based on information gathered by the real estate Douglas Elliman agency.
The agency discovered that rental prices dropped by 2.8% from $3,395 this March 2016 to $3,300 the previous month making this a first in 2 years.
As report also uncovered, average rent also decreased by 3.3% from $4,126 this March to $3,989 the month before.
Citi Habitats market report states that in March the average rent in Manhattan was $3,473, a decrease by $9 from February 2015.
Gary Malin, president of real estate group, Citi Habitats noted that Manhattan apartments became unfordable to Tenants . He said, “Tenants have finally reached their pain threshold, he also said, “Pricing remains near all time highs, and Manhattan renters have reached the point where they can no longer transact — it’s just become too expensive.”
Citi Habitats report that, In the fourth quarter of 2015, apartment vacancy rates experienced a decline from 1.96 % to 1.77% in the first quarter of 2016.
Real estate experts say that Landlords had to change their methods just to reel in apartment seekers. They either gave renters 1 month free rent or opt in to pay real estate brokers fee.
Douglas Elliman notes that rentals with these added bonuses increased greatly from 4.8% in March 2015 to 13.6% in February 2016.
Citi Habitats discovered that 21% of brokered rentals in 2016’s first quarter had added bonuses, an increase from 12% in first and last quarter of 2016.