Apartment vacancies rise, rents fall over a year

Asking rents for units in doorman buildings in Manhattan this month are down 5.79% compared with December 2008, according to the Real Estate Group of New York. But rents in non-doorman units are off just 1.74%.

From November to December, rents for doorman units slipped 1.19%, yet non-doorman units rose 0.87%.

Vacancies climbed 2.89% higher than November numbers.  Although non-doorman units have maintained pricing, their inventories rose by 6.08%.  At the same time, doorman units, which had modest discounts this month, maintained inventories; they went up only by 0.43% in December.  As the group’s report put it:

Renters have welcomed the discounts on doorman units and continue to keep inventory levels stable. . . Renters are looking for deep discounts and perceived value.”

Regarding two-bedroom units, they have continued to remain the most stable size category.  Such units are holding prices again this month and actually increased their average price by 1% since November.

Depending on how reliable are the numbers, which are issued monthly, the implication seems to be that anyone who doesn’t need a two-bedroom apartment or a doorman should rent quickly, before landlords have their way with you.

If it’s a doorman building you crave, hey, take your time.

And if you want to move, change your lifestyle and own a piece of the island, this may well be the right time to act.  But as always, I can argue both sides of that decision since I am no more prescient than anyone else about three critical variables:

  1. Mortgage rates
  2. The strength of the economy
  3. The moment that the housing market hits bottom

What’s your opinion?

Subscribe by Email

Malcolm Carter
Licensed Associate Real Estate Broker
Senior Vice President
Charles Rutenberg Realty
127 E. 56th Street
New York, NY 10022

M: 347-886-0248
F: 347-438-3201

Web site

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s