Weber Realty Management is further boosting optimism for residential landlords as planning begins for the upcoming summer. July is now under 100 days away, so property managers and landlords could start to see how the summer will look for rentals. Spring has commenced in Manhattan and landlords can truly smell the roses.
Multiple factors have led to this forecast of a 20% rise in Manhattan rental charges from the summer of 2021 to 2022. The inventory crunch this winter saw current residents renew their leases at a 9% increase. Going into 2022, Weber Realty expected residents to re-sign their leases at a 6% maximum. Apartments that were vacant and re-rented this past winter, went up an average of 47% higher than what they were last summer, thanks to this lack of inventory.
Going into this summer, Weber Realty expects residents to renew rents at increases of 9%. Apartments that don’t retain their current residents are projected to be re-rented a minimum of 30% higher than what they were last summer. These increases are due to the massive market correction as Manhattan rentals have started to return to 2019 levels.