NYC Rents Reach an All-Time High

New York City’s rental market sat at unprecedented heights through June and July.

As the demand for rentals get hotter during the busy season, Landlords keep getting colder and colder, as they look to take advantage of this market. With the growing requests for rentals, hiking up the price of the rent per month is something that’s been seen a lot among landlords these past few months.

According to StreetEasy, Manhattan’s rental market was at record-high prices, with the median rent standing at a whopping $4,000. Brooklyn closely follows with a median price point of $3,800 and then Queens with a median of 3,350.

“Renters are being squeezed to their limit by steep increases in rent but they still need places to live,” explained StreetEasy economist Kenny Lee. Inevitably, potential renters are forced out of certain wealthier areas and into other less expensive ones, where they can afford. Although, this creates a bit of a domino effect until the people already living in less expensive areas are really struggling for a place to stay.

Instead of being restricted to the pricey market of rentals, the option of an investment towards buying your own property is never a bad idea. There are many reasons to buy properties in NYC. Possibly the most beneficial reason: your return on investment (ROI). Property owners have two types of possible return when owning an apartment. They can choose to rent it out and collect a little extra income each month and they can also earn a second form of return, which is appreciation. This is when the price of the property gains more value over time.

If you’re waiting for interest rates to strike a downward spiral anytime soon, you might be waiting for a longer time than you imagine. The rates a year from now or even a few years from now, won’t be significantly different. If you were to hold off for now, the appreciation earned during that time could’ve been significantly more valuable than the money you’d save on buying with a slightly cheaper mortgage rate. This way, you could get ahead of the curb with what could be one of the smartest investments of your life.

If you are tired of paying for someone else’s dream and want to invest in your own? Comment below and we can chat about your options!