NYC Residential Rental Market Report: September 2023
More units in Manhattan, and slightly lower prices in the outer boroughs, provide plentiful opportunities for renters.
“In Manhattan, rents plateaued when compared to August, while in Brooklyn they declined slightly. Meanwhile, leasing activity fell 22% across both boroughs over the same period, while still up significantly on an annual basis. This month-over-month drop is typical, as the summer ‘rental rush’ generally wanes as we enter fall. Manhattan apartment inventory climbed versus the previous month and last year, to reach the highest level since July 2021. Brooklyn did not see the same rise in available homes, as the number of vacant units fell 8% versus August, while still up 9% vs. a year ago. While conditions are still a mixed bag for tenants and undoubtedly competitive, some of the seasonal pressure has dissipated. With more available units in Manhattan, and slightly lower prices across the East River, there are currently some new opportunities for New York renters.”
– Gary Malin, Chief Operating Officer, The Corcoran Group
MANHATTAN
Rents
- The median Manhattan rent was $4,495 per month in September 2023. This figure is exactly the same when compared to August but a slight 1% rise vs. last September. This marks the smallest year-over-year gain since August 2021. Most recently, the borough’s median rent has been essentially flat for four consecutive months.
- Average rents increased slightly year-over-year for studios and one bedrooms, while they fell for two- and three-bedroom homes. The largest increase was for one-bedrooms, where average rents ticked up 1% to reach $4,514. In contrast, average rents declined the most for two-bedrooms — pricing for this property type fell 4% to $6,482.
Listings/Vacancy
- In September 2023, there were 8,429 active listings across Manhattan, up 1% from August (at 8,331) and a substantial 43% rise year-over-year. Active listings are now at their highest level since July 2021.
- The average Manhattan apartment took 80 days to find a tenant in September, the same when compared to August. However days-on-market was down 11% when compared to September 2022, amid strong leasing activity and slowing rent growth.
- The Manhattan vacancy rate was 2.41% in September, a drop from August when the rate was 2.50%. On a monthly basis, vacancy has declined every month since June. However, visible vacancy has now risen year-over-year for thirteen consecutive months. In September 2022 – 2.23% of units were vacant.
- Once again, Midtown East had the highest vacancy rate in September (at 3.37%) while vacancy was lowest in Gramercy (at 0.89%).
Leasing Activity
- With 4,683 new leases signed in Manhattan, September 2023 leasing activity fell 22% from August — a typical seasonal slowdown. In contrast, reported leases signed increased 55% vs. last September, the largest year-over-year gain since July 2021.
BROOKLYN
Rents
- The median rent in Brooklyn was $3,837 in September 2023, down 2% month-over-month but up 4% year-over-year. September marked the twenty-fourth consecutive month of annual rent growth. In two years, median rent in the borough has increased a total of 35% from the pandemic low.
- At $4,449, the average rent for Brooklyn in September rose 1% from August and 8% annually.
Listings
- There were 3,624 active listings available in Brooklyn during September 2023, 8% fewer when compared to August and the greatest monthly decline in over a year. However, there are still 9% more homes on the rental market when compared to last year.
- The average Brooklyn rental spent 59 days on the market in September, a 16% decline vs. August and a 34% drop from last year. Although there are still more active listings vs. a year ago, inventory remains tight, driving days on market down.
Leasing Activity
- At 1,111, the number of leases signed in September 2023 fell 22% vs. August. Reported signed leases increased significantly versus September 2022, up 52%. This was the largest annual increase since June 2021. Despite this jump, reported signed leases were still 21% below pre-pandemic September 2019.
