NEW YORK, Jan. 14 /PRNewswire/ -- The 4th Quarter 2009 Prudential Douglas Elliman Manhattan Rental Market Overview shows that rental price indicators, excluding concessions, were below levels seen in the same period a year ago, but began to show signs of stability since the prior quarter. One of the reasons for the easing in the decline of rental prices has been the surge in the number of rentals from the same period last year as well as the decline in rental inventory.
"The Manhattan rental market is performing better than expected for this time of year," stated Dottie Herman, President/CEO of PDE. "Rental prices began to stabilize in the fourth quarter of 2009. Rental activity is up 47.5% compared to this time last year and as a result, there are fewer listings available. We believe the trend will continue through the spring as the economy begins to improve. Although the New York City market has many challenges ahead, a stable rental market is a great way to enter 2010."
The Manhattan Rental Market overview incorporates similar metrics used in our Manhattan Market Overview enabling like comparisons between rentals and sales trends. The report includes analysis by average rental price, median rental price, rental price per square foot, number of rentals, days on market, listing discount and listing inventory. Rental markets are also subdivided by location, number of bedrooms, doorman, luxury and loft amenities. A quarterly format was selected over a monthly format due to the limited reliability of a smaller data set when analyzing submarket trends.
Key Trend Metrics
- Average rental price declined 4.3% to $3,789 from $3,958 the same period last year but up 0.8% from $3,759 the prior quarter.
- Rental price per square foot declined 4.6% to $47.02 per square foot from $49.30 per square foot during the same period last year, and down 1.7% from $47.84 per square foot in the prior quarter.
- Median rental price declined 9.4% to $2,900 from $3,200 in the same period last year and down 1.7% from $2,950 in the prior quarter.
-Number of rentals surged 47.5% to 2,456 units from 1,665 units in the prior year quarter.
-Listing inventory fell 21.3% to 5,225 units from 6,640 units in the prior year quarter.
-Days on market were 76 days, down from 97 days this time last year.
-Listing discount was 6.5%, down from 6.9% in the same period last year.
- The report's author, Jonathan J. Miller, President/CEO of Miller Samuel. Miller provides input for the Federal Reserve's Beige Book, and serves on the NYC Mayor's Economic Advisory Panel and the NYC Council Finance Committee Economic Advisory Board. On Matrix [matrix.millersamuel.com], he blogs about the real estate economy.
- Dottie Herman is President/CEO of Prudential Douglas Elliman, the company that distributes the report. Prudential Douglas Elliman is New York City and Long Island's preeminent residential broker, with nearly 70 offices, over 3,300 real estate agents and a network of national and international affiliates. Herman is frequently quoted in The New York Times, The Wall Street Journal, Crain's, and The New York Post.
About Miller Samuel
Miller Samuel is an appraisal and consulting services firm established in 1986 covering the New York City metropolitan area. Miller Samuel provided property valuations of more than $5,000,000,000 in the past year. The company's clients include domestic and international financial institutions, law firms, consulting firms, developers, employee relocation companies, co-op and condo boards, managing agents, individuals and government agencies. The firm developed what is now the largest database of Manhattan co-op and condo sales covering the sales market back to the late 1970s. For more information visit www.millersamuel.com
About Prudential Douglas Elliman
Prudential Douglas Elliman Real Estate is New York's largest residential brokerage, with over 60 offices, more than 3,500 real estate agents and a network of national and international affiliates. Prudential Douglas Elliman ranked in the top four of all real estate companies in the nation in 2007 and 2008, and was recently ranked #1 in the nationwide network of Prudential Real Estate Affiliates. The company also controls a portfolio of real estate services, including Manhattan's largest residential property manager, Douglas Elliman Property Management, as well as PDE Title and Preferred Empire Mortgage Company. For more information on Prudential Douglas Elliman as well as expert commentary on emerging trends in the real estate industry, visit the Prudential Douglas Elliman site at www.prudentialelliman.com.
SOURCE Prudential Douglas Elliman