Manhattan Rental Market Report | MNS is Real Impact Real Estate

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MANHATTAN
RENTAL MARKET REPORT

July 2016

Introduction

Average rent across Manhattan remained stable this month, moving 0.013% from $4,047.04 in June 2016 to $4,047.55 in July 2016.

A Quick Look

Manhattan rental prices have remained stable in the last month, increasing 0.01% or less than $1, and in the last twelve months, increasing 2.1% or $84.46. Inventory dropped 2.2% in the last month from 10,433 units to 10,203 units, following a 7% increase from May to June. The percentage of NDM and DM buildings is split nearly evenly this month, at 50.5% and 49.5%, respectively. To compare, during the month of June this was split 49.3% and 50.7%.
Studio NDM and DM apartment prices rose 2.6% and 2.3% in the last month, and rose 8.2% and 5.8% in the last twelve months, respectively. 1 bedroom NDM and DM apartment prices rose 0.4% and fell 1.6% in the last month, and rose 5.8% and fell 2.2% in the last twelve months, respectively. 2 bedroom NDM and DM apartment prices rose 1.8% and fell 2.2% in the last month, and rose 4.1% and fell 1.8% in the last twelve months, respectively.
TriBeCa NDM studio apartments experienced the largest price jump over the last month, at 19.8% as oversized loft-like apartments entered the market. Inventory in this area also increased by 2%. East Village 1 bedroom DM apartment prices fell 12.6%, which was the largest price drop in the last month, due to several higher priced listings exiting the market. The largest inventory changes were seen in Battery Park City where inventory levels fells by 18.8%, and Midtown East which rose by 20.9%.
From an annual average price perspective, Financial District studio and 1 bedroom NDM prices rose by 38.2% and 20.9%, respectively- the largest annual increases of all Manhattan neighborhoods. It is important to note that the NDM supply in FiDi is minimal and is often around the 50 unit count mark when analyzing the rental changes. Lower levels of supply often lead to heightened changes in average prices. Overall, SoHo saw the largest annual increase at 7.7%, followed by FiDi at 7.2%.
Analyzing each neighborhood’s overall average price from a highest to lowest average price over the last year, rents on the Upper East Side and Upper West Side remained the most stable, with average monthly price differences ranging by only $211 and $222, respectively. Midtown East and Midtown West weren’t far behind with prices ranging by $263 and $278. TriBeCa and SoHo saw ranges over double those amounts, but their inventories are consistently so low that the ranges are inconclusive.

A Quick Look

Notable Trends: Manhattan Highs and Lows (Average Prices)
Doorman Buildings (Average Prices)

Where Prices Decreased(monthly)

Battery Park City
Doorman Two-Bedroom -3.2%
Chelsea
Non-Doorman Studios -3.3% Non-Doorman One-Bedroom -6.9% Doorman Studios -6.4% Doorman One-Bedroom -1.3% Doorman Two-Bedroom -0.5%
East Village
Non-Doorman Studios -0.5% Non-Doorman One-Bedroom -1.6% Doorman Studios -2.1% Doorman One-Bedroom -12.6%
Financial District
Non-Doorman Two-Bedroom -4.9% Doorman Studios -1.8% Doorman One-Bedroom -6.6% Doorman Two-Bedroom -1.2%
Gramercy
Non-Doorman Two-Bedroom -5.8% Doorman Studios -2.0% Doorman One-Bedroom -5.4% Doorman Two-Bedroom -6.4%
Greenwich Village
Non-Doorman One-Bedroom -3.5% Doorman Studios -4.9% Doorman Two-Bedroom -4.3%
Harlem
Non-Doorman Studios -1.7% Non-Doorman Two-Bedroom -0.4%
Lower East Side
Non-Doorman Studios -1.0% Non-Doorman Two-Bedroom -0.9% Doorman One-Bedroom -2.7% Doorman Two-Bedroom -7.5%
Midtown East
Non-Doorman One-Bedroom -2.5% Non-Doorman Two-Bedroom -7.1%
Midtown West
Doorman Studios -4.0% Doorman One-Bedroom -2.0% Doorman Two-Bedroom -2.8%
Murray Hill
Non-Doorman Studios -1.9% Non-Doorman One-Bedroom -1.6% Non-Doorman Two-Bedroom -1.3% Doorman Studios -1.8% Doorman One-Bedroom -1.9% Doorman Two-Bedroom -0.8%
SoHo
Non-Doorman Studios -4.8% Doorman One-Bedroom -1.7%
Tribeca
Non-Doorman Two-Bedroom -3.9% Doorman Studios -2.9% Doorman One-Bedroom -0.6% Doorman Two-Bedroom -6.4%
Upper East Side
Non-Doorman Studios -0.8% Non-Doorman One-Bedroom -2.0% Non-Doorman Two-Bedroom -3.7% Doorman Studios -3.4% Doorman One-Bedroom -1.3% Doorman Two-Bedroom -6.2%
Upper West Side
Non-Doorman Studiosm -2.5%

Where Prices Increased(monthly)

Battery Park City
Doorman Studios 2.8% Doorman One-Bedroom 0.3%
Chelsea
Non-Doorman Two-Bedroom 12.0%
East Village
Non-Doorman Two-Bedroom 2.5% Doorman Two-Bedroom 1.5%
Financial District
Non-Doorman Studios 8.9% Non-Doorman One-Bedroom 7.4%
Gramercy
Non-Doorman Studios 2.8% Non-Doorman One-Bedroom 4.0%
Greenwich Village
Non-Doorman Studios 2.5% Non-Doorman Two-Bedroom 1.2% Doorman One-Bedroom 0.8%
Harlem
Non-Doorman One-Bedroom 1.6% Doorman Studios 2.0% Doorman One-Bedroom 1.7% Doorman Two-Bedroom 3.3%
Lower East Side
Non-Doorman One-Bedroom 3.6% Doorman Studios 6.4%
Midtown East
Non-Doorman Studios 7.9% Doorman Studios 1.7% Non-Doorman One-Bedroom 0.7% Non-Doorman Two-Bedroom 1.1%
Midtown West
Non-Doorman Studios 0.8% Non-Doorman One-Bedroom 5.2% Non-Doorman Two-Bedroom 5.7%
SoHo
Non-Doorman Studios 25.7% Doorman Studios 39.9% Non-Doorman One-Bedroom 4.8% Non-Doorman Two-Bedroom 1.1%
Tribeca
Non-Doorman Studios 19.8% Non-Doorman One-Bedroom 2.2%
Upper West Side
Non-Doorman One-Bedroom 0.9% Non-Doorman Two-Bedroom 6.2% Doorman Studios 3.6% Doorman One-Bedroom 1.6% Doorman Two-Bedroom 0.6%
manhattan quick look studios manhattan quick look 1 bed manhattan quick look 2 bed manhattan quick look 2 bed

Year Over Year Price Change

Manhattan Rents: July 2015 vs. July 2016
Type July 2015 July 2016 Change
Non-Doorman Studios $2,396 $2,593 8.2%
Non-Doorman One Bedrooms $3,187 $3,373 5.8%
Non-Doorman Two Bedrooms $4,234 $4,410 4.1%
Type July 2015 July 2016 Change
Doorman Studios $3,034 $3,210 5.8%
Doorman One Bedrooms $4,359 $4,262 2.2%
Doorman Two Bedrooms $6,315 $6,198 1.8%

• Battery Park City has seen some of the most stable rents in Manhattan in the last twelve months, with rental average price differences ranging less than $300. The largest change in the last month occurred in the two bedroom market, wherein prices fell by 3.2%.
• Prices rose an average of 2.4% since last July.

battery park city studio apartment price trends battery park one bedroom prices battery park city two bedroom apartment price trends

• 2 bedroom NDM buildings experienced a price increase of 12%, marking the largest change in the last month, seconded by the 6.9% fall in the price of 1 bedroom NDM buildings, the result of standard changes in inventory – higher price unit entering (exiting) the market an lower priced units exiting (entering) the market.
• Prices rose an average of 1.4% since last July.

chelsea studio apartment price trends chelsea one bedroom apartment price trends chelsea two bedroom apartment price trends

• DM prices fluctuated more than NDM prices this month, the largest change being the 12.6% fall in the prices of 1 bedrooms as several higher priced units exited the market. 2 bedroom prices were the only ones that increased this month, with DM prices rising 1.5% and NDM prices rising 2.5%.
• Prices rose an average of 0.4% since last July.

east village studio apartment price trends east village one bedroom apartment prices east village two bedroom apartment price trends

• NDM studio and 1 bedroom prices rose in the last month, by 8.9% and 7.4% respectively, as the inventory levels consistently remain low in the NDM sector. All other apartment types and sizes saw price decreases in the last month, ranging from 1.2% (2 bedroom DM) to 6.6% (1 bedroom DM).
• Prices rose an average of 7.2% since last July.

financial district nyc studio apartment prices financial district one bedroom apartments financial district two bedroom apartment price trends

• Prices fell an average of 3.1% this month, namely due to the large price decreases in 2 bedroom apartments. NDM 2 bedrooms fell 5.8%, and DM 2 bedrooms fell 6.4%.
• Prices rose an average of 0.03% since last July.

gramercy studio apartment trends gramercy one bedroom apartment price trends gramercy two bedroom apartment price trends

• Prices remained relatively constant this month, rising at most 2.5% (the price of studio NDM apartments) and falling at most 4.9% (the price of studio DM apartments).
• Prices rose an average of 4.4% since last July.

greenwich village studio apartment prices greenwich village one bedroom apartment prices greenwich village two bedroom apartment prices

• NDM prices remained stable in the last month, ranging from a 1.6% rise in the price of 1 bedroom apartments and a 1.7% drop in the price of studios. DM prices rose across all apartment sizes, and the largest rise at 3.3% (in the price of 2 bedroom apartments.)
• Prices rose an average of 1.9% since last July.

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

• DM prices varied more than NDM prices this month, ranging from a 7.5% drop in the price of 2 bedroom DM apartments to a 6.4% rise in the price of studio DM apartments.
• Prices fell an average of 0.02% since last July

lower east side studio apartment prices lower east side one bedroom apartment price trends lower east side two bedroom apartment price trends

• Prices fell an average of 0.2% this month. The largest price drop was in 2 bedroom NDM apartments, at 7.1%. The largest price increase, on the other hand, was in studio NDM apartments, at a 7.9% rise.
• Prices fell an average of 0.5% since last July.

midtown east studio apartment price trends midtown east one bedroom price trends midtown east two bedroom price trends

• Midtown West DM prices fell this month, while NDM prices rose. Studio DM apartments fell 4% and 2 bedroom NDM prices rose 5.7%.
• Prices fell an average of 2% since last July.

midtown west studio apartment price trends midtown west one bedroom price trends midtown west two bedroom apartment price trends

• Prices fell across the board this month, ranging from the 0.8% drop in the price of 2 bedroom DM apartments, to the 1.87% drop in the price of 1 bedroom DM apartments.
• Prices fell an average of 2.5% since last July.

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

• Low inventories will almost always leave SoHo price changes inapplicable. Nevertheless, it is important to note the largest of those changes- in the last month, which was the 39.9% rise in DM studio apartment prices. The smallest of those changes was the 1.1% rise in the price of 2 bedroom studio apartments.
• Prices rose an average of 7.7% since last July.

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

• Studio NDM apartment prices rose 19.8% in the last month. The second largest price change of the area was in the cost of 2 bedroom DM apartments, which fell 6.4% in the last month.
• Prices rose an average of 4.7% since last July.

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

• In the last month, prices fell across all apartment types and sizes in the Upper East Side. NDM prices fell an average 2.4% and DM prices fell an average of 4.1%. NDM apartments stayed on the market approximately two thirds of the time that DM apartments were on the market.
• Prices fell an average of 0.8% since last July.

upper east side studio apartment price trends upper east side one bedroom price trends upper east side two bedroom price trends

• All DM and NDM apartments saw price rises in the last month, apart from studio NDM apartments, whose prices fell by 2.5%. The price increases ranged from the 6.2% change that 2 bedroom NDM buildings saw to the small 0.6% increase that 2 bedroom DM buildings saw.
• Prices rose an average of 3% since last July.

upper west side studio apartment price trends upper west side one bedroom price trends upper west side two bedroom price trends

The Report Explained

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

The Manhattan Rental Market Report™ is based on data cross-sectioned from over 10,000 currently available listings located below 155th Street 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 Manhattan and 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/manhattan_rental_market_report)

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