Rental statistics do not acurately reflect market

http://ny.curbed.com/2017/3/6/14828646/downtown-brooklyns-rental-oversupply It used to be that incomming tenants were paying a 15% Broker's Fee on top of the rent. This was not reflected in the reported rent figures. Now, incomming tenants are getting as much as a 2 month rebate, which is also not being reflected in the reported rent figures. This is causing the skewing to the up side of the... [more]

http://ny.curbed.com/2017/3/6/14828646/downtown-brooklyns-rental-oversupply It used to be that incomming tenants were paying a 15% Broker's Fee on top of the rent. This was not reflected in the reported rent figures. Now, incomming tenants are getting as much as a 2 month rebate, which is also not being reflected in the reported rent figures. This is causing the skewing to the up side of the numbers being reported for average rent, etc. Example: First year expense for a "$2,700" apartment where the tenant pays a Broker's Fee: $2,700 x 12 + 1.8 x $2,700 = $37,250 First year expense for a "$3,700" apartment where the tenant gets a 2 month rent concession: $3,700 x 19 = $37,000 So in terms of real dollars, there has actually been a slight decrease, but if you go based on the reported rent, it has gone up a whopping 37%! [less]