Manhattan apartments are leasing in a flash ahead of summer frenzy
MANHATTAN renters snapped up apartments at the quickest rate in nearly a year, settling into new places before the already heated market heads into its traditionally busiest season.
Units that found takers last month were listed for an average of 35 days, down from 48 days in April and 52 a year earlier, according to appraiser Miller Samuel and brokerage Douglas Elliman Real Estate. The median rent on newly signed leases reached a record for a third straight month, rising almost 10 per cent from a year earlier to US$4,395.
Manhattan rents typically peak in the summer months and dip slightly through the winter. This year, though, demand has been so intense that prices kept pushing upward. And they’re expected to continue rising as new graduates flood in and families race to move before school starts again.
“There’s no shock and awe here, it’s just a continuation of a trend that we’ve been seeing for the last 18 months,” said Jonathan Miller, president of Miller Samuel. “It’s hard to imagine there won’t be records for the next several months.”
In May, apartments flew off the market at the fastest pace since last July and August – typically New York’s most-competitive months – when units were listed for just 26 days.
After the number of new lease signings took an unexpected tumble in April, they rebounded to 5,041, a bit more than last May’s total. Renters had 7.4 per cent more listings to choose from than they did in April and 21 per cent more than a year ago, but the inventory of 6,998 units was below the 10-year average for May.
The share of Manhattan leases offered with landlord concessions, such as free rent or payment of a broker’s fees, slipped to 12 per cent from 13 per cent in April. The average incentive was unchanged, at 1.2 months of rent. BLOOMBERG
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