Is Now a Good Time to Rent a New Apartment?
Question: I live in a bedroom in Washington Heights, Manhattan, with the lease expiring in April. My management company says that if I renew, it will not increase my rent, but will also not offer a reduction in rent. I would love to live in the East Village, but the apartments I have seen are now more expensive and smaller than mine. So, should I stay or walk?
By the end of 2020 in New York City by rent, the average rental price in Manhattan was down 14.4 percent to $ 2,957 a year. Douglas Elliman reports. But also seen in the fourth quarter of 2020 Huge number of new lease sign – In Manhattan, they nearly doubled from December 2019 to December 2020 – possibly indicating the end of the slide. So if you don’t work now, will you miss the opportunity to deal? Not necessarily.
Jonathan J., president of Miller Samuel Real Estate Appraisers and Consultants. Miller and the author said, “The natural assumption is that all these people are coming back or moving around,” we are approaching the window. The Elliman Report “I am describing it as a child’s step in the right direction, but it does not lead to imminent recovery or stabilization in rent, and the reason is that all metrics remain fairly strict.”
Among those metrics: Listing inventory in Manhattan remains triple what it was a year ago, so there is still more apartments to be discovered there.
Since the rents are below the spectrum, make sure that you are not paying more for your current location. See online listings for comparable units in your building and neighborhood. Check the rental history to see if they came down. Depending on what you find, you have another conversation with your landlord.
“Landlords know how competitive the market is and want to keep their tenants,” said Nancy Wu, an economist at StreetEasy. You may be able to negotiate a concession, such as one month’s free rent, new equipment or access to storage. Find out what you can get, even if you don’t live eventually.
If you intend to live in the East Village, it may be better with your budget. According to StreetStacy, in December, the average rent on a bedroom was $ 2,394, a 17.4 percent drop over the year. (By comparison, in Washington Heights, the one-bedroom was down 4 percent to $ 1,875.)
Keep in mind that you will still get less for your money in the East Village because you are paying for the location. “There are going to be a lot of trade offs,” Ms. Wu said. “Think long term, think about what you don’t want right now but once the epidemic is over.”
Even if fares are cheaper, not all discounts are equal, so pay attention to the fine print. A month or two of free rent sounds good, but the discount extends over the lease term, so if you want to renew, the cost will increase significantly. If you find an apartment with a lower base rent, your savings will be deeper. Don’t be afraid to negotiate, even on a listing that already has concessions – ask if you can get rent reduction, apartment upgrades or free access to building facilities.
Next, calculate your moving costs like movers or new furniture. Once you find an apartment you like, and can compare costs, the answer may be obvious.