Marcus & Millichap says rental demand is on the decline Rising unemployment during the recession is causing rental demand to subside, according to an Apartment Research Report by Marcus & Millichap. Across New York City, employers are expected to cut 136,900 jobs this year for a total 3.7 percent decline in employment, according to Marcus & Millichap. The report said that lengthy... [more]
Marcus & Millichap says rental demand is on the decline
Rising unemployment during the recession is causing rental demand to subside, according to an Apartment Research Report by Marcus & Millichap. Across New York City, employers are expected to cut 136,900 jobs this year for a total 3.7 percent decline in employment, according to Marcus & Millichap. The report said that lengthy planning and building timetables have kept the city's construction pipeline full, despite the recession, and developers will bring nearly 3,200 new market-rate rentals online this year, compared to 1,225 rentals last year. Falling rental demand is expected to increase the average vacancy rate 160 basis points to 4.2 percent by the end of the year, and asking rents and effective rents are expected to fall 3.5 percent and 4.7 percent, respectively.
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Response by 30yrs_RE_20_in_REO
over 17 years ago
Posts: 9913
Member since: Mar 2009
You know, maybe for the biggest of landlords 4.7% decline in rents is meaningful, but for your average Coop/Condo owner, it really doesn't mean a hell of a lot ( so your $5,000 tenant gets rolled back to $4765? BFD)
You know, maybe for the biggest of landlords 4.7% decline in rents is meaningful, but for your average Coop/Condo owner, it really doesn't mean a hell of a lot ( so your $5,000 tenant gets rolled back to $4765? BFD)