Rental Property Rates are Falling -- Even in Manhattan!
Not too long ago, leasing an apartment in New York seemed like a one-way proposition. Apartments were scarce, competition for studio, one, two and three bedroom apartments was fierce, and it seemed as though the landlord 'held all the cards' in any rental transaction. Rental rates went up every year, and to make matters worse for tenants, most rental leases were obtained through a broker, whose fee was paid by the potential tenant.
Today, the negotating dance between landlord and tenant has shifted somewhat. The loss of jobs in the financial and business sectors, combined with uncertainty over future employment, has led to an increase in available apartments as some tenants move back home or out of the city. More apartments on the market, and for longer periods of time, means rental rates have fallen for the first time in years.
Landlords are also offering concessions to attract or retain good tenants. Some landlords are throwing in a month's free rent -- a common practice in other rental markets such as Las Vegas and Florida but rare in New York unti recently. Other landlords may offer to pay the broker fee for the tenant or include gym membership.
Current responsible tenants may want to ask for a rental rate reduction, as landlords look to retain tenants who take care of their apartments and pay the rent on time. So if you are a tenant looking to rent in New York...be brave...shop around, know what comparable apartments are renting for and ask what kind of discount or sweeteners are available.
The information on RentalProperties.com is intended for informational purposes and not guaranteed. Please consult with an attorney or your own professional advisor regarding your specific situation.
