While New York City real estate sales are slowing and prices are dipping, the rental market is going strong, with median rents hitting new highs in Manhattan, Brooklyn, and Queens. All the boroughs experienced at least a 2% jump, with Manhattan leading the pack at 2.6% above the first quarter of last year, putting its median rent at $3,217. Queens was not far behind, with a 2.5% increase and a median rent of $2,173. Brooklyn tailed with a still not-so-shabby 2.2% jump and a median rent of $2,608.
The only area in all three boroughs that experienced a drop in rent from last year was northern Brooklyn’s neighborhoods served by the L train. Now that the shutdown has been cancelled, they may experience an uptick in pretty short order, but in Q1 there was an oversupply of apartments in Williamsburg and Greenpoint, resulting in rent concessions. Still, northern Brooklyn’s median rent is about $450 more than the rest of Brooklyn at $3,061. Meanwhile, northwest Brooklyn, which includes neighborhoods like Brooklyn Heights and Park Slope, showed the highest increase at 3.3%, bringing the median rent to $3,068.
With this trend, buyers who are price-watching may find themselves spending the money they are looking to save on rent hikes.