According to a new report released by Douglas Elliman, the average and median price of rentals in Queens reached the highest on record, with the average rental price at $5,186 and a median price of $4,095.
The rental market report for February 2023 reveals the second-highest February record for new leases in northwest Queens. The month recorded 499 new leases in Queens, while February 2022 recorded 524 new leases.
Year-over-year, the average rental price increased 12%, from $3,074 to an average of $3,444. The median rental price experienced a similar increase at 12.1%, year-over-year.
“The upward trend in rental prices reflects the relatively robust city economy, pulling consumers into the market to take advantage of the job opportunities,” said Jonathan Miller, President and CEO of Miller Samuel Real Estate Appraisers and Consultants. “In addition, and probably the most significant factor is the surge in mortgage rates pushing would-be buyers into the rental market, making an already tight market tighter.”
Average rental prices in Manhattan and Brooklyn have also increased, with Brooklyn rental prices rising at 18.3% and Manhattan rental prices increasing at 5.7%, year-over-year.
In addition to the rising numbers, there has been a negative listing discount for rental properties in northwest Queens. The listing discount was reported at -4.6%, on a consistent rate from January, but was recorded at -0.5% the previous year.
“The negative listing discount reflects an average premium for rentals in the region, also reflected in the 16% market share of bidding wars, where the tenant pays more than the landlord asking price. And when a premium is being paid, it averages 13.8%,” Miller said.