Rent is Getting More Expensive — The Reason Why + Tips to Find an Affordable Place

The pandemic brought all sorts of challenges — physical, psychological, financial, and more. And its improvement is now bringing a difficulty of its own as New York renters see rates up to 70% higher than early 2020 amounts. The current Brooklyn median is $2747 per month — a number that many individuals and families simply can’t afford.

Why is rent seemingly getting more and more expensive by the day, how does the timing relate to the pandemic, and what can renters do to stay afloat during times like these? Let’s dive into the reason why & some advice on how to solve this problem:

Why is New York Rent Rising?

The rise in rent is due to a few factors. To start, the housing market has absolutely exploded in recent years, making property worth more than ever before. As mortgage rates go up for new buyers, rent rates follow for new leases signed.

And not only have homes gotten more expensive, but life has, too. Groceries have followed the fastest-moving inflation rate since 1982, and food costs are predicted to keep going up throughout 2022. Building and remodeling materials have risen about 20%. It costs more to live, eat, and for landlords — to make home repairs to rental units, too.

Why now and not earlier in the pandemic? Because leases are beginning to end. Those pre-COVID contracts are closing out and the renewals are coming in at significantly higher rates to cover for the circumstances outlined above.

Resources for Renters in Brooklyn

Thankfully, it’s still possible to find affordable rent with a bit of help and/or creativity. The tips below are an awesome place to start if you need a new spot to call you brown within Brooklyn’s lines.

Look Into Affordable Neighborhoods

Brooklyn has a number of neighborhoods that fall on the more affordable side. Mapleton, for example, tends to be low in price while still providing easy access to public transportation and a natural, reclusive feel overall. Bath Beach is close to coffee shops, restaurants, and walking trails and ranks well in the public school department. We recently published a blog post on affordable Brooklyn neighborhoods for renters if you’d like to learn more, too.

Snag a Rent Stabilized Space

These buildings offer much more affordable rates (and far fewer surprises at lease renewal time) if you’re lucky enough to find one. This site can help you figure out if the places you’re touring could fall into the category.

Decide If It’s Time to Buy

Buying a home can often be cheaper than renting, and you don’t need to worry about rates rising as the years go by. If you’re feeling ready to explore this option, feel free to reach out to our team at Realty Collective today.

All in all, the rent rises are an unexpected, yet very real challenge. They’re caused by a number of factors and there’s not really an end in sight in regards to rates going down. Try one of our tips above to find lower-priced living and let us know if we can help. We’d love to support you however we can as you search for your next best place to stay in!