NYC Rents Rising at Twice the National Rate

As rents continue to rise around the country, New York City renters, who make up two-thirds of the city's households, are being hit with increases twice the average national rate, reports Mihir Zaveri in The New York Times. "Rents in New York rose 33 percent between January 2021 and January 2022, according to the online listing site Apartment List, almost double the national rate and the highest increase among the 100 largest American cities tracked by the group."

Although "The declines and increases have been much sharper in wealthier neighborhoods," with rents spiking by 40 percent on the Upper West Side and in Williamsburg, Brooklyn, lower-income tenants are also struggling with increased costs. "Though roughly half of all rental units in New York, including public housing, are rent regulated, limiting increases, about 43 percent, totaling 2.1 million units, are subject to market forces."

According to the article, "The fluctuations reflect a sharp turnaround driven in large part by the end of the discounts landlords used to keep and attract tenants during the pandemic." Additionally, the overheated housing market has pushed many potential homebuyers back into renting. "The spiraling cost of homeownership has had a cascading impact on the rental market. With the appetite for single-family homes and condominiums driving up their cost, some people eager to buy are instead opting to rent, pushing up rental prices."