Home News My quest to find an NYC apartment amid surging rents, bidding wars, and $160K salary minimums

My quest to find an NYC apartment amid surging rents, bidding wars, and $160K salary minimums

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It was a beautiful upper west side bed, bath, white panel walls, crown moldings and checkered hardwood floors.First 2 minutes of viewing Zillow listI made it romantic to return to New York City and play a life inspired by Nora Ephron-towing a partner and a cat.

I had a broken heart.

“We have a lot of interest in this unit because I want to be transparent with you,” the broker informed me by phone. Well then. “We are currently accepting many offers and many are above the asking price.”

Nora for a long time. I wasn’t trying to embark on a rent bidding war, not my style or budget.According to the new Report from real estate management company Douglas EllimanBut I’m not the only one losing in this crazy rental market.

The bidding war accounted for more than one-fifth of Manhattan’s new rental agreements in April. And in Brooklyn, a long paradise for lessors who want more value for their money, the bid war occupies one of four new signatures. On average, landlords are leaving for rents that are about 11% above the asking price, according to the report.

One New York broker said client frustration was the main driver of these bidding wars, rather than encouraging brokers to offer potential lessees more than the list price. When I asked the three-unit Harlem Walkup broker how to make the application more attractive to the landlord, he said he could wink and nod and always offer more than the asking price.

Like many apartment hunters, our search quickly changed from a romantic comedy fantasy to a real estate horror story.But for fairness, even in the 1980s Eflon had her own story Of the insane housing market in this city. But things certainly seem to be more intense than ever.

“It’s off the chart. We put the property on the market for rent and we got 10 to 15 inquiries on the first day,” said real estate broker Ben Gernandt. Compass team leader Located on the Upper West Side.

He says the concept of New York City living in your living room, a true shoebox, is a thing of the past. In this new era of telecommuting, even stubborn New Yorkers need some space.

“There is no real disappointment in the market. It has been a real landlord’s market, at least since last fall,” says Gernandt.

The beautiful UWS apartment was stolen and listed for just under $ 3,000 a month. But borrowers are willing to pay more to get what they want and know who paid how much.

These bidding wars may provide an explanation for housing costs that are skyrocketing across the city. According to the same Douglas Elliman report, the average price of a one-bedroom in Manhattan reached $ 3,995 per month in April. This is an increase of more than 33% year-on-year.

This is a big leap from pre-pandemic levels when the median rent in New York City from 2016 to 2020 was $ 1,489. According to census data..

When I last lived in New York, in my mid-20s, I earned an entry-level salary and could barely afford the small Upper East Side two-bedroom rent I shared with my roommates. Landlords in New York are notorious for requiring a lessor to earn an annual salary of 40 times the monthly rent in order to qualify as a lease contractor. If this is not the case, you will need to have your guarantor sign the lease agreement, which is usually 80 times the rent.

Nowadays, considering the 40x requirement, you have to pay an annual salary of $ 159,800 to rent a one bedroom in Manhattan. In Brooklyn, where the average price for a bedroom is $ 2,900 per month, you need to earn $ 116,000.

The Latest census data Shows that the median household income in New York is $ 67,046. Rising rents have made the difficult housing market nearly impossible for low-income New Yorkers. I have a partner who can help me bear the burden of rent, and without children, we are a little more flexible in terms of location.Still, it certainly evoked anxiety, and there I may have a little tears..

Ultimately, like many others who returned to New York after the pandemic, we were willing to make some sacrifices to live in New York. And after investigating about 30 apartments in about three weeks, I picked up one bedroom in the elevator building in South Harlem before listing, and no bidding war was needed. I had to stop crown molding. I’m sorry, Nora.

This story was originally Fortune.com

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