Manhattan seems to be winning in the housing market game as September’s numbers showed an increase in apartment rentals, according to a report released by Prudential Douglas Elliman and appraisal firm Miller Samuel Inc., Thursday.
The report indicated that the median apartment rose 10.2 percent from a year earlier to $3,195 a month, and the median rent adjusting for common landlord, such as one month free of rent also rose 8 percent, which is $2,938, Crain’s reported.
Chief executive of Miller Samuel, Jonathan Miller said it appears that rents will continue to rise.
“The tight credit market is keeping some people from switching out if rental market [to buying],” Miller told Cain’s.
According to the report, vacancy rates in September fell to 1.85 percent from 2.62 percent last year, driving up prices today.
The report also showed good news for renters. The brokerage Citi Habitats, said the average rents eased by $8 in September.
“Recent data from the month of September indicates slightly improving conditions for Manhattan renters and apartment seekers,” Gary Malin, president of Citi Habitats, wrote in a report according to Crain’s.
Miller also said the improving employment rates are helping boost the rental market.
“People are looking around, paring back on amenity [buildings] and thinking about changing their location to keep it affordable,” Miller said.