Douglas Elliman releases February 2014 Manhattan & Brooklyn Residential Rental Report


Douglas Elliman released the February 2014 report for Manhattan & Brooklyn Residential Rental Markets. The February 2014 Elliman Report for the Manhattan & Brooklyn Rental Markets reported here  and summarized below was prepared by  Miller Samuel for Douglas Elliman.

M&B_Rental_Rpt_02-2014“Brooklyn rental prices increased as Manhattan rental prices continued to slip.”

The Manhattan rental market still is feeling the heat from the sales market as first time buyers are being pulled from rentals.  Rental prices remain below year ago levels, yet we don’t expect significant relief to tenants anytime soon.  Larger apartments are seeing more rental price increases than smaller apartments.  Although we are seeing a little more availability than a year ago, as well as an increased use of concessions by landlords, conditions still remain tight.   With no anticipated easing of already tight mortgage lending conditions and an improving New York City economy, we look to an active rental market for the foreseeable future.

  • For the sixth consecutive month, the year-over-year median rental price fell below the prior year level.
  • Median rental price declined 2.8% to $3,100 from the same month last year.  As a result, rental prices have generally remained flat on a monthly basis since last summer.
  • The market share of concessions nearly doubled to 9.1% from the same period a year ago, but fell from 13.1% in the prior month.
  • The overall vacancy rate for Manhattan edged higher to 1.87% from 1.69% in the same month last year, consistent with the expanded use of concessions by landlords.

All rental price indicators continued to post year-over-year gains in Brooklyn.

  • Median rental price rose 11.6% to $2,890 from the same period a year ago, making the ninth consecutive monthly gain.
  • These results outpaced the luxury market, whose median rental price increased 4.5% over the same period.

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