Manhattan’s rental market opened 2009 with a continuation of the downward trends that began in the fall of 2008, reports the Real Estate Group of New York, which noted that landlords quickly saw that incentives were needed to decrease inventories.
“Manhattan rapidly became a no fee market.”
The chart below (which, I’m sorry to say, is hard to read), summarizes the report:
Manhattan’s seasonality trends in 2009 were muted, yet a moderate increase in activity during the summer months helped prices to stabilize and vacancies to decrease, according to the company’s report, which looks at the rental market from the landlords’ point of view. The report continued:
“Some landlords tested rent increases and forgoing concessions throughout the summer, but many abandoned these changes as they saw inventory sit vacant during their “peak” rental season.
“As fall approached, there was hope for a sustained push from renters whose starting dates were moved into the later part of 2009; however, fall and winter came and went with little change.
“While we expect a slow start to 2010, there is potential for the market to return to stability over the next year. The most important factor for a market improvement is employment, and as it steadily improves, we can expect the rental market to do the same.”
You can read the whole report. In addition, you’ll find considerable more information on the New York and U.S. real estate markets in the free e-newsletter that I write every two weeks, with the next one to be issued around noon on Jan. 8.
Licensed Associate Real Estate Broker
Senior Vice President
Charles Rutenberg Realty
127 E. 56th Street
New York, NY 10022