Do you earn less than 6 digits? Good luck scoring even a modest New York City apartment.
Median rents in Manhattan have skyrocketed to $ 3,925 per month, according to Douglas Elliman’s latest market report. This is an astonishing 31.9% year-on-year increase from April 2021.
This means that a lessor needs to earn $ 157,000 a year to apply for an apartment in the city. 40 times the rent rule What the landlord generally demands.
This was below a record low during a pandemic and a new record high for rent in the city. Unprecedented demand for apartments in the city, as New Yorkers return to work and Homers from new jobs move to New York. Studio apartment bidding warAs the post previously reported.
Meanwhile, the median household income in New York has recently been only $ 67,046. Census.. Therefore, to qualify for a Manhattan rental, you need to scrape nearly three times what a daily New Yorker makes.
“Rents weren’t that high,” Jonathan Miller, president and chief executive officer of Miller Samuel Inc., who edited the data, told the post. “As record rents continue to be set, that means salary thresholds will also rise.”
Further subdivided, the data show that the median rent for studios in Manhattan was $ 2,850 per month (up 28.4% from last year). This means that a qualified tenant must earn $ 114,000 to pass the 40 rule. One bedroom jumped from just $ 3,000 a year ago to $ 3,995 a month.
In Brooklyn, median rents rose from $ 2,730 to $ 3,048 year-on-year. The studio in the city’s largest autonomous region will return $ 2,674. This means you’ll have to carry it for at least $ 106,000 to get to Brooklyn.
The Waterfront Queens area is even more expensive. Median rents in northwestern Queens surged from $ 2,581 year-on-year to $ 3,126 per month. Studios in areas like Long Island City will cost $ 2,929, 51% higher than in 2021.
But don’t expect immediate relief. Rents are expected to be even higher this summer as recent graduates arrive in town for new jobs. To make matters worse, the inventory of new apartments is expected to be tightened, and new developments are rarely on the market.
The city’s sales market is no better.According to the survey Zillow released This month, half of homebuyers report that this process cried “at least once” because the market is so competitive and stressful.
Young buyers are much more likely to shed tears in their experience, with 65% of Gen Z buyers and 61% of Millennial buyers crying for home purchases. Of the recent buyers surveyed by Zillow, only 10% said they didn’t have a stressful process.
But while it’s a tough time for those who don’t bring in bundles, ultra-high prices aren’t new to New Yorkers who have long been hurt by real estate that has long relied on hordes of roommates and guarantors to earn rent.
“It’s not easy to digest,” Miller said, saying inflation is also exacerbating the crisis. “But the landlord wants [renters] Those who are eligible to pay the rent. As record rents continue to be set, it means that the salary threshold will also rise as the 40x rule continues to be trusted. “