“Leasing activity accelerated during April, thus erasing much of the available inventory. This lack of move-in ready apartments, coupled with an increasing demand for shares, larger homes, and doorman product, caused the median rent to reach $4,384 in Manhattan—a new all-time high.
Quite simply, there is intense demand for housing in New York City—people want to be here. Rising interest rates are putting additional pressure on potential first-time homebuyers, which may cause them to remain tenants in the near term. In addition, we are now entering the traditionally-busy summer season. This ‘perfect storm’ means, that unless something gives, conditions will likely be fierce for renters in the coming months.”
–Gary Malin, Chief Operating Officer, The Corcoran Group
MANHATTAN
Rents
- April 2022’s median Manhattan rent of $4,041 rose 5% since March and a remarkable 37% year-over-year. Manhattan median rents again reached a new high. In addition, non-doorman rents surpassed their pre-Covid peak for the first time.
- Significant average rent gains were seen across the board. Average rents in doorman buildings rose 39% annually to reach $5,835 per month, while for non-doorman product they rose 37% – to reach $3,927. In terms of unit type, average pricing for one- and two-bedroom units increased the most. Rents in these categories both rose 34% annually, hitting $4,268 and $6,035, respectively.
- However, pricing trends continue to vary depending on property type. Climbing 33% annually to reach a median of $4,650, prices in doorman buildings continue to rise at a greater rate than those in non-doorman buildings. For non-doorman units, the median rent decreased 3% vs. last year, to $3,230.
Listings/Vacancy
- In April 2022, there were 5,137 active listings across Manhattan, down 14% from March and 62% year-over-year. Supply was also down 7% from pre-pandemic April 2019.
- The Manhattan vacancy rate fell slightly to 1.83% in April (vs. 1.85% in March). Vacancy has been consistently below 2% for the last 7 months, but remains above pre-pandemic levels due to high face rents. In the 18 months prior to the market pause, the vacancy rate averaged 1.3%. Midtown West had the highest vacancy rate in April (at 2.56%) while vacancy was lowest in Greenwich Village/West Village (at 0.69%).
Leasing Activity
- With 4,384 new leases signed, April 2022 leasing activity increased 13% from March. Due to low inventory and record rental prices, 39% fewer eases were signed when compared to April 2021.
BROOKLYN
Rents
- Brooklyn’s median rent rose to $3,252 in April 2022, up a slight 1% from March and 20% year-over-year. The median rent in Brooklyn has reached an all-time high, surpassing pre-Covid levels.
- At $3,750 the Brooklyn average rent increased 6% when compared to March, while it was up 20% annually. Brooklyn’s average rent also set a new record.
Listings
- There were 2,579 active listings available in Brooklyn during April 2022, down 12% from March and a 31% decline year-over-year.
- The average Brooklyn rental spent 73 days on the market—up 14% since March and up 7% compared to last year. With limited supply, lingering listings finally rented, which drove days on market higher.
Leasing Activity
- There were 1,339 leases signed in Brooklyn during April 2022, 11% more than in March—but 23% fewer than were executed last April. Sky-high rents also curbed leasing activity by 19% compared April 2019 (pre-pandemic).