For months, record rents have been the norm for Manhattan.
December was no totally different, when median lease for a brokered, market-rate lease in Manhattan was $4,720, the second-highest quantity on file, in accordance with a brand new report from Miller Samuel for Douglas Elliman. The quantity additionally marks a 9 % annual enhance.
The numbers present that regardless of flagging mortgage rates and a change within the season, excessive demand is the dominant pressure in New York Metropolis’s rental market.
“We’re not anticipating any reduction for tenants in 2026,” mentioned report writer and appraiser Jonathan Miller.
The development in excessive rents began in February 2025, odd contemplating rents often spike in the summertime. However they continued on a tear, reaching a $4,750 per thirty days median in Manhattan in November.
Though elevated mortgage charges might have contributed to the development by retaining would-be patrons renting, their decline hasn’t put an finish to excessive rents.
In actual fact, each the sale and rental markets are seeing value development, Miller mentioned. The 2 often counter each other, which means excessive demand and inbound migration of prosperous shoppers has doubtless altered the market, he mentioned. About one-fifth of all leases ended with a bidding warfare in Manhattan, with renters paying about 9 % above asking value.
“Provide and emptiness stay under long-term averages, so the market stays typically tight,” Miller mentioned.
Regardless of discuss of a “Okay-shaped” financial system, with the wealthy pulling away from the overall populace when it comes to revenue and spending, Miller mentioned we’re not but seeing a complete bifurcation of the market. Median rents for doorman and non-doorman buildings alike are rising at comparable charges.
In Brooklyn, median lease was $3,850, a greater than 10 % rise from one yr in the past. About 30 % of leases have been the results of a bidding warfare within the borough.
In northwest Queens, together with the neighborhoods of Astoria, Sunnyside, Woodside and Lengthy Island Metropolis, median lease was $3,652 per thirty days. That represented a 7.6 % bounce from a yr prior.
