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Brooklyn
Rental Market Report

March 2016

Introduction

Average rents throughout Brooklyn increased by 0.25% from $2,716.55 in February 2016 to $2,723.46 in March 2016.

A QUICK LOOK

The monthly average rent in Brooklyn increased by 0.25%, from $2,716.55 in February 2016, as the annual average rent grew slightly by 0.45%, from $2,711.22 in March 2015 to $2,723.46 in March 2016. The inventory this month rose by 3.84%, from 3,303 rental units in February 2016 to 3,430 rental units in March 2016.
At the time the sample was taken, these following neighborhoods consisted of less than 20 units in the sample size; Studios in Bay Ridge, Boerum Hill, Bushwick, Clinton Hill, Cobble Hill, Crown Heights, Dumbo, Greenpoint and Prospect Lefferts Gardens; and Two Bedrooms in Cobble Hill.
Brooklyn Heights experienced the largest growth of overall average rent this month, increasing by 2.31% from $3,183 in February 2016 to $3,257 in March 2016, as all other neighborhoods shifted between +/- 1.7%. From a listings standpoint, we saw the first increase in the number of units on the market, as we come out of the cooler months and into Spring where more leases begin to turnaround. As we move closer to the mid-year, we expect both inventory and pricing to increase.
From an annual standpoint, Crown Heights and Prospect Lefferts Gardens again saw the largest increases in the overall average rent, at 12.4% and 9.2%, respectively. These increases are indicative of very strong emerging markets. On a unit sector level, Studio units saw large price fluctuations in both directions. Of the areas that saw large increases – Crown Heights by 15.98%, Prospect Lefferts Garden by 15.46%, Fort Greene by 12.66%, Cobble Hill by 9.16%, Greenpoint by 8.79%, Bay Ridge by 7.47% and Williamsburg by 5.93% - decreases were noted in larger sized apartments. Of the areas that saw large decreases in Studios – Bushwick at 13.86%, Brooklyn Heights at 9.36%, Clinton Hill at 4.22% and BedStuy at 2.06% - increases were noted in larger sized apartments, indicative of the varying levels of individual and share/family-type apartment demands.

Notable Trends

Building (Average Prices)
brooklyn quick look studios brooklyn quick look 1 bed brooklyn quick look 2 bed brooklyn quick year over year change
Brooklyn Rents: March 2015 vs. March 2016
Type March '15 March '16 Change
Studios $2,140 $2,158 0.87%
One-bedrooms $2,608 $2,608 0.00%
Two-bedrooms $3,386 $3,404 0.54%

A Quick Look

Where Prices Decreased (Monthly)

Boerum Hill
One-Bedroom -0.34% Two-Bedroom -3.87%
Bushwick
Studios -0.11% One-Bedroom -1.67%
Clinton Hill
Studios -0.25%
Cobble Hill
Studios -0.17% Two-Bedroom -2.20%
Crown Heights
Studios -1.47%
Dumbo
Studios -0.43% One-Bedroom -0.41%
Fort Greene
Studios -2.34% Two-Bedroom -1.76%
Greenpoint
Studios -1.93% Two-Bedroom -0.38%
Park Slope
One-Bedroom -0.31%
PLG
One-Bedroom -1.41%
Williamsburg
Studios -1.26% One-Bedroom -1.83%

Where Prices Increased (Monthly)

Bay Ridge
Studios 0.25% One-Bedroom 0.64% Two-Bedroom 0.65%
Bed Stuy
Studios 1.03% One-Bedroom 0.13% Two-Bedroom 0.17%
Boerum Hill
Studios 0.06%
Brooklyn Heights
Studios 1.32% One-Bedroom 3.56% Two-Bedroom 2.01%
Bushwick
Two-Bedroom 1.05%
Clinton Hill
One-Bedroom 4.01% Two-Bedroom 0.04%
Cobble Hill
One-Bedroom 1.47%
Crown Heights
One-Bedroom 1.40% Two-Bedroom 4.19%
Dumbo
Two-Bedroom 0.09%
Downtown BK
Studios 2.33% One-Bedroom 1.85% Two-Bedroom 0.86%
Fort Greene
One-Bedroom 1.79%
Greenpoint
One-Bedroom 0.86%
Park Slope
Studios 0.49% Two-Bedroom 1.44%
PLG
Studios 1.15% Two-Bedroom 3.63%
Williamsburg
Two-Bedroom 0.18%

Neighborhood Price Trends

• Monthly average rent remained stable this month, as all unit class increased under 0.70%
• From an annual perspective, Studio and One Bedroom average rent saw a strong growth of 7.47% and 6.35%, respectively, as Two Bedroom units decreased by 0.97% since March 2015.

bay ridge studio apartment price trends bay ridge one bedroom price trends bay ridge two bedroom price trends

• Similar to the previous month, the average rent remained stable moving by 0.38% since February 2016, as the annual average rent increased by 3.3%.

bedford-stuyvesant studio apartment price trends bedford-stuyvesant one bedroom price trends bedford-stuyvesant two bedroom price trends

• Boerum Hill’s Two Bedroom unit average rent saw the largest decrease this month at 3.87% compared to the other analyzed neighborhoods. This was the result of a few lower priced units entering the market.
• Overall, the average monthly rent dipped by 1.7% since February 2016.

boerum hill studio apartment price trends boerum hill one bedroom price trends boerum hill two bedroom apartment price trends

• All sectors across Brooklyn Heights saw moderate growth in monthly average rents, with an increase of 1.32% in Studios, 3.56% in One Bedrooms and 2.01% in Two Bedrooms, resulting in the highest growth in overall average rent amongst the other Brooklyn neighborhoods at 2.31%.

brooklyn heights studio apartment price trends brooklyn heights one bedroom price trends brooklyn heights two bedroom price trends

• Overall, both the monthly and annual average rent remained stable moving by -0.18% and -0.4%, respectively

bushwick studio apartment price trends bushwick one bedroom apartment price trends bushwick two bedroom apartment price trends

• The One Bedroom sector in Clinton Hill saw an increase of 4.01% this monthy, mainly the result of a higher priced rental unit entering the market.
• Overall, the monthly average rent increased by 1.21% as the annual average rent increased slightly by 0.2%

clinton hill studio apartment price trends clinton hill one bedroom apartment price trends clinton hill two bedroom apartment price trends

• Although Studio and Two Bedroom average rents fell by 0.17% and 2.20%, respectively, One Bedrooms increased by 1.47% since the previous month, resulting in a relatively balanced overall movement of -0.51%

cobble hill studio apartment trends cobble hill one bedroom apartment price trends cobble hill two bedroom apartment price trends

• Two Bedroom average rents increased by 4.19%, mainly triggered by higher priced rental units from 643 Washington Avenue.
• From a year-to-year perspective, all unit classes saw increases in average rent – Studios by 15.98%, One Bedrooms by 8.23%, and Two Bedrooms by 13.35% - resulting in the highest annual increase in the borough at 12.4%.

crown heights studio apartment prices crown heights one bedroom apartment prices crown heights two bedroom apartment prices

• All unit classes saw increases in average rent this month, with an overall increase of 1.55%

downtown brooklyn studio apartment price trends downtown brooklyn one bedroom apartment prices downtown brooklyn two bedroom apartment price trends

• DUMBO’s average rent remained stable and relatively unchanged with a slight decrease of 0.19% in monthly average rent and 0.8% increase in annual average rent.

dumbo studio apartment price trends dumbo one bedroom apartment prices dumbo two bedroom apartment price trends

• Studio and Two Bedroom average rents fell by 2.34% and 1.76%, respectively, since the previous month, as One Bedrooms increased by 1.79%, all the result of changes in inventory

fort greene studio apartment prices fort greene one bedroom apartment price trends fort greene two bedroom apartment prices

• Although the monthly average rent remained relatively unchanged, moving by only 0.45%, the annual average rent increased by 4.2%.

greenpoint studio apartment prices greenpoint one bedroom apartment price trends greenpoint two bedroom apartment price trends

• The overall average rent remained stable this month, with an overall average increase of 0.61%

park slope nyc studio apartment prices park slope one bedroom apartments park slope two bedroom apartment price trends

• Two Bedroom units saw a noticeable growth of 3.63% since the previous month, mainly caused by higher priced units from 393 Lefferts Avenue entering the market. With Studios increasing by 1.15% and One Bedrooms decreasing by 1.41%, the overall average monthly rent increased by 1.33%
• From a year-to-year perspective, Studio and Two Bedroom average rent saw staggering increases of 15.46% and 12.51%, respectively, influencing an overall 9.2% increase in average rent since March 2015.

prospect lefferts gardens studio apartment prices prospect lefferts gardens one bedroom apartment price trends prospect lefferts gardens two bedroom apartment prices

• Although both the monthly and annual overall average rent remained relatively stable, a noticeable growth was seen in Studio units as the average rent increased by 5.93% since March 2015.

williamsburg studio apartment price trends williamsburg one bedroom prices williamsburg two bedroom apartment price trends

The Report Explained

The Brooklyn Rental Market Report™ compares fluctuation in the borough's rental data on a monthly basis. It is an essential tool for potential renters seeking transparency in the Brooklyn apartment market and a benchmark for landlords to efficiently and fairly adjust individual property rents in Brooklyn.

The Brooklyn Rental Market Report™ is based on a crosssection of data from available listings and priced under $10,000, with ultra-luxury property omitted to obtain a true monthly rental average. Our data is aggregated from the MNS proprietary database and sampled from a specific mid-month point to record current rental rates offered by landlords during that particular month. It is then combined with information from the REBNY Real Estate Listings Source (RLS), OnLine Residential (OLR.com) and R.O.L.E.X. (Real Plus).

Author: MNS has been helping Brooklyn landlords and renters navigate the rental market since 1999. From large companies to individuals, MNS tailors services to meet your needs. Contact us today to see how we can help.

Contact Us Now: 212.475.9000

Note: All market data is collected and compiled by MNS's marketing department. The information presented here is intended for instructive purposes only and has been gathered from sources deemed reliable, though it may be subject to errors, omissions, changes or withdrawal without notice.

If you would like to republish this report on the web, please be sure to source it as the "Brooklyn Rental Market Report" with a link back to its original location (http://www.mns.com/brooklyn_rental_market_report).

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