Expensive Rental Apartments January 31, 2006
When you think of moving to the next bracket, where do you picture yourself living? Will you still be renting? Will you upgrade? Consider living below your means to save for your future. I saw a Forbes article titled “Most Expensive Rentals In The U.S. 2006″. Rentals from a $300,000 per month home in Miami Beach to a $6,500 per month 3,700 square feet home in Las Vegas are featured. I suppose these are for people who are swimming in that much cash flow and will not be settling down anytime soon, but that is a lot of money.
In New York City, they list a $60,000 per month rental for a ten-room duplex in midtown Manhattan. Corcoran, the largest realtor in the Manhattan area puts out a yearly report on homes, apartments, and rentals. Their latest report, from mid-year 2005 shows the following rental prices:
A quick search of Manhattan revealed 3 rental apartments (1 bedroom, 1 bath) for under $1000 per month, but those are in Harlem. 3 TOTAL! The top result is a $32,000 2 bedroom, 3 bathroom rental for 2100 square feet in Midtown Manhattan. The average Manhattan rental in 2005 was $3,755 per month. The median rental was $2,700 per month. If you get to your next bracket, consider living modestly, which will get you to the next bracket that much faster!
Source:
Corcoran mid-year 2005 report (pdf)
- Posted in : Living Below Your Means, Real Estate
- Author : Kyle
Comments»
[…] Since writing about expensive rental apartments in New York City, a new survey was released by city housing officials in NY State. A NY Times article says that while rents have gone up 8.7% from 2002 to 2005, median household income for rental households have gone down 5.6%. This is no surprise given that housing prices have increased so sharply in the past 5 years. The gap between the haves and have-nots is growing. Will rental prices ever go down? […]
[…] With real estate prices so high, do you know anyone who has sold and cashed out to downsize? Because we’re relatively young, since last summer, we thought of selling our home and downsizing until the market conditions are better to buy a bigger home for a future-growing family. (Remember capital gains in real estate is tax free in the US up to $250k for an individual or $500k for a married couple). In NYC, even if we wanted to downsize, it is more expensive to sell and rent or buy. As mentioned before, rental costs average $3755 per month in 2005 in Manhattan. We’re seeing a softening in the NJ market, so we have decided to place our home up for sale and move to an area with more potential for gains. Of course we’re not saving more, but we’re moving to an area we love and believe that that area is more desirable place for real estate in the long run. […]
[…] That’s the average price of a Manhattan apartment, according to a quarterly report released by the real estate brokerage firm Brown Harris Stevens. The price is up 15% from last quarter and 8% higher than 2005. If that’s the average price (add up all sales and divide by the number of apartments sold), and there are supposedly 62,773 millionaires in Manhattan, how do the rest of the 2 million or so people afford to buy? Or how do the average Manhattan-ite afford to rent? […]