Manhattan median rent skyrockets to $4,000, first time ever

As New York City slowly reopens, those moving to the city are balking at staggering housing prices.

And now, a new report says that median rent of Manhattan properties has hit $4,000 for the first time since tracking began.

Real estate company Douglas Elliman announced the stunning number in its May rental market report, which tracks prices in the boroughs of Manhattan, Brooklyn and Queens.

$4,000 median rent is a 25.2% increase from last May, when median rent in Manhattan was $3,195, according to the report. It also said that the average premium above the landlord’s last asking price rose to 11.1% from 10.7% in April.

The report said lease signings rose while listing inventory plummeted by almost 75% from last month.

Former New Yorkers who fled the city during the pandemic are likely competing with new out-of-towners taking advantage of their ability to work remotely, reports the New York Post.

Eden Tuckman, a 23-year-old real estate sales agent, told the Post she has spent the last three months with her roommate trying to find a two-bedroom Manhattan apartment – and are still looking.

“As soon as an apartment is posted online, you’re basically done,” said Tuckman, who said the two have been willing to spend up to $3,700 per month.

The Elliman report said 18.5% of Manhattan units rented in May entered a bidding war.

Tuckman said they are looking for a third roommate, which will increase their budget and options.

The median rent in May 2022 was $3,250 in Brooklyn and $2,950 in northwest Queens, according to the report. This was lower than Manhattan’s but still represented a near 20% increase from last year.

Despite New York City’s strong rebound, its overall population is still lower than before the pandemic, reports Bloomberg. The daytime commute is also much lower due to lingering work-from-home policies, which has affected the city’s economy.