According to the Real Deal reports, the rental market stayed flat in February which is not that unusual given the time of the year.Full story here The sales market saw over 800 contracts signed with roughly half being co-ops and half being condos. The $1 to $2 million range continues to do well, accounting for nearly 30% of all deals.
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The Author- Brian Silvestry , a licensed real estate broker, has been selling residential and commercial real estate since 1999. He has sold in every Manhattan market from Battery Park City to Washington Heights.
There are several reasons why the NYC rental market is slow right now. One reason is the time of year. January, February is not exactly the best time of the year to pull in a qualified renter. Not that many tenants want to move when it’s 15 degrees outside. So typically, we have a seasonal slowdown at this time of year. Additionally, there is a glut of apartments for rent due to expectations of landlords being too high. As apartments remain on the market for several months, either the landlord drops the price, or more often than not, they give incentives like a free month, pay the Broker fee, or even give gadgets like an Ipad. Incentives are way up compared to even the same time last year. As apartments get rented more and more with incentives, it makes the rental market appear stronger than it actually is. This fuels the expectations of other landlords who look at these rental comps when pricing their property.
I think in 2017 you will see an adjustment as landlord expectations start to come closer to the current reality.
The zoning laws in NYC only allow apartments to be constructed of apartments of a minimum of 400 sqft but thanks to an initiative started under Mayor Bloomberg and continued under the current Mayor we have units in this building coming to the market this summer in the size of 260 to 360 sqft. The rental price will be $2000-3000 per month. Continue reading 335 east 27 street NY,NY 10016 Micro units debut this summer