NYC Residential Rental Market Report: May 2024

“In May, Manhattan’s median rent declined a slight 2% from its all-time peak in April. Meanwhile in Brooklyn, it climbed above $4,000 per month for the first time to reach a new record. There was an influx of inventory in both boroughs, both on a month-over-month and an annual basis. Leases are often set to expire as we reach the summer season and high rents may have caused more renters to seek a new apartment rather than renew.

However, it is important to note that these available homes are finding new tenants, as reported Manhattan and Brooklyn lease activity also rose versus April and year-over-year. Most notably, the number of leases signed in Brooklyn expanded a substantial 36% from April to May. Currently, pricing, new listings, and the number of signed leases are all at high levels. By any measure, New York’s rental market is extremely active — and the city is on the move.”

– Gary Malin, Chief Operating Officer, The Corcoran Group

MANHATTAN

Rents

  • The median Manhattan rent was $4,500 per month in May 2024 vs. $4,595 per month in April. Rental prices decreased 2% month-over-month and were flat year-over-year. The median Manhattan rent has begun to decline after reaching a record high in April. Additionally, median rent did not increase annually for the first time in nearly three years, bringing some much needed relief to renters.
  • Average rent increased year-over-year for all unit types (studios to three-bedrooms), though all remain below their respective peaks. Rents for three-bedrooms increased the most — by 10% — to reach $9,920. However, the average rent for this category was below $10,000 for the first time since September.

Listings/Vacancy

  • In May 2024, there were 7,707 active listings across Manhattan, up 10% from April and a substantial 22% year-over-year. Due to high rents, a greater number of renters are opting out of renewals in hopes of finding better value elsewhere.
  • The average Manhattan apartment took 43 days to find a tenant in May, compared to 44 in April — a 2% decline month-over-month and a 56% drop when compared to May 2023. Days on market is now at the lowest figure in over five years.
  • The Manhattan vacancy rate was 2.01% in May, down slightly from April when the rate was 2.02%. Vacancy is also lower than it was at the same time last year, as May 2023’s rate was 2.20%. Visible vacancy remains just above its lowest level reached in May 2022.

Leasing Activity

  • With 5,577 new leases signed in Manhattan, May 2024 leasing activity soared 29% when compared to April and rose 8% year-over-year. On an annual basis, the number of doorman leases increased 8% while leases for non-doorman apartments climbed 7%. Non-doorman activity expanded year-over-year for the first time since September.

BROOKLYN

Rents

  • The median rent in Brooklyn was $4,099 in May 2024, up 4% since April and 9% year-over-year. Median rent climbed above $4,000 per month for the first time, reaching a new record high in the borough.
  • Average rent increased year-over-year for all bedroom types, with three-bedroom units seeing the most significant increase at 19%. Since hitting its lowest point in January 2021, three-bedroom rents in Brooklyn have increased by an impressive 81%.

Listings

  • There were 3,364 active listings available in Brooklyn during May 2024, 25% more when compared both to April and last May. Supply — much needed — has now reached a three-year high.
  • The average Brooklyn rental spent 47 days on the market in May. This is 15% longer versus April but 31% fewer days when looking year-over-year.

Leasing Activity 

  • At 1,699, the number of leases signed in Brooklyn during May 2024 rose 36% from April and 21% annually. Although a month-over-month rise in May activity is typical due to seasonality, this 36% gain exceeded the typical five-year average increase.
  • Leasing activity rose annually for all unit types. Studios had the largest increase, up 26% compared to last May. Studio apartments have increased in popularity out of necessity, as one-bedroom rents continue to soar.

Read the full reports:

Manhattan  |  Brooklyn

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