COVID-19 + NYC Real Estate
Short-term and furnished rental options are growing in NYC as people seek flexibility during the COVID-19 pandemic. (Getty Images)
During this period of widespread uncertainty, many renters are seeking greater flexibility in apartment leases — and the NYC market is responding by offering more short-term and furnished rentals.
Since April 1, the share of rental listings on StreetEasy offering short term or month-to-month leases has grown by more than 70 percent. Meanwhile, the share of furnished rental listings offered in April rose by more than 40 percent over the previous year.
Uncertain Times Call for More Flexible Housing
Rental inventory across the city has fallen precipitously since public health protocols around COVID-19 took effect. At the same time, the share of rentals offering short-term (one-month minimum) and furnished rentals has increased to just over 2 and 13 percent of total listings, respectively, since the week of March 23.
In any given week in April, renters were able to choose from roughly 250 rentals offering short-term or month-to-month leases, and some 1,600 furnished apartments. More than 80 percent of short-term and 70 percent of furnished rentals citywide are in Manhattan, which is not surprising, since Manhattanites tend to be more mobile than New Yorkers overall.
Factors Driving Demand for Short-Term and Furnished Rentals
There are several unique factors playing out in the city and pushing up the demand for flexibility. The mayor called for up to 45,000 medical personnel from around the country to come work in New York City by the end of April; they need places to stay. Medical workers who already live here are choosing to stay closer to their workplaces to avoid subway commutes, or to isolate themselves due to their heightened exposure to the virus.
Other sources of demand for month-to-month leases may come from college students who had to suddenly evacuate their dorms, renters between leases who are unsure what future the city holds for them, and renters who were planning to buy homes during the spring shopping season but are now choosing to wait and see.
NYC Rentals With 1-2BRs Under $3K on StreetEasy Article continues below
Fewer Tourists Means More Short-Term Rentals Available
Short-term and furnished rentals have also been coming onto the market as landlords and short-term vacation rental hosts face a blow from the drop in tourism and business travel. Many of these owners are shifting away from hospitality services and listing their units for month-to-month or longer-term leases instead.
Some have stepped up to offer free or subsidized housing to medical workers and first responders. Certain landlords are doing the same on StreetEasy: this furnished 2-bedroom in Greenwich Village was asking $2,500, but advertised “Free housing for emergency hospital workers.”
As the city copes with the impact of COVID-19, the demand for flexible housing will likely continue — and we expect the portion of short-term and furnished listings to keep rising to meet those needs.
Takeaways for Renters
It’s a good time to look for options besides the typical one-year lease, especially for renters facing uncertainty in the coming months. Many landlords are still offering longer-term leases with short-term options. It’s always a good idea to contact the agent or leasing office on a StreetEasy listing and ask if the landlord would consider a short-term renter, keeping in mind that the length of stay has to be at least a month.
As always, negotiate on the rent. Advertised discounts are less common now — 17 percent fewer landlords offered discounts in the last two weeks of March compared to the first two. However, with so many New Yorkers taking a wait-and-see approach by extending their leases or staying outside the city, demand is lower. For renters looking to move right now, greater flexibility on the market could indicate a greater willingness among landlords to respond to renters’ needs.
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