The average rental rate for a New York City apartment climbed 2% from a year earlier–to $3,049, well above the national average of $1,073, real-estate research firm Reis Inc. said.
- DAWN WOTAPKA
The average monthly rental rate climbed 0.9% from the prior quarter—and 2% from a year earlier—to $3,049, real-estate research firm Reis Inc. said in a report to be released Tuesday. The national average is $1,073.
The priciest average was found in Manhattan, though landlords in other boroughs are taking advantage of strong demand in an area where many people can’t afford to buy a home. Rents in Queens jumped an average of 5.6% during the quarter, to $1,662, while Brooklyn’s owners increased rates 1.5%, to $1,721.
After learning that her Manhattan landlord wanted to raise her $3,650 monthly rent by $100, Heather Brown and her husband decided to find a cheaper place. They recently moved into a 100-square-foot bigger one-bedroom at the Laguna development in Newport, N.J., where they are paying $2,990.
Developers, meanwhile, are at work on thousands more apartment units. New York City was one of four areas that saw its inventory increase at least 0.9% in the quarter, one of the largest since Reis began keeping track in 1980, and the vacancy rate increased 0.3%, to 2.4%, in the quarter. The national rate is 4.2%.
More than 24,000 units are expected to become available in New York City and its suburbs between 2013 and 2015, according to Luis Mejia, director of multifamily research for the CoStar Group, a real-estate data firm. In 2012, about 4,000 hit the market.
Write to Dawn Wotapka at email@example.com
A version of this article appeared October 1, 2013, on page A20 in the U.S. edition of The Wall Street Journal, with the headline: Rents on Rise in New York.