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New York market rental trends report

Relocity July 23, 2025

Rental Trends

4:11

Manhattan

Over the past 3–6 months, Manhattan rental prices have demonstrated modest but consistent upward momentum, with overall rents increasing approximately 2-5% since early 2025. This growth represents a continuation of steady, single-digit annual increases that the borough has experienced for nearly two years, moving away from the more dramatic rent spikes seen in previous periods. These increases are primarily driven by persistently low inventory levels—with available apartments reaching 30-month lows—combined with high demand from buyers delaying purchases due to elevated mortgage rates. The rental market remains extremely tight with vacancy rates sitting below 2%, creating sustained upward pressure on pricing. As of Q2 2025, the current median rent across all unit types in Manhattan is approximately $4,650.

Brooklyn

Over the past 3–6 months, Brooklyn has experienced moderate rental price growth with some unit types showing resilience while others have seen more mixed performance, reflecting a market adapting to increased inventory and changing renter preferences. The market has seen modest increases in studios and larger units, while one and two-bedroom apartments have experienced more varied trends depending on neighborhood and building amenities. These changes are being driven by a significant increase in new construction, particularly in neighborhoods like Downtown Brooklyn, DUMBO, and Williamsburg, combined with continued strong demand from renters seeking alternatives to Manhattan's higher prices. Despite increased inventory, competition remains robust with bidding wars occurring on approximately one-third of new leases, though the expanded supply is providing more options for renters across different price points. As of Q2 2025, the current median rent across all unit types in Brooklyn is approximately $4,050.

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Queens

Over the past 3–6 months, Queens has experienced mixed rental price trends, with overall rents declining approximately 4-12% year-over-year while showing modest monthly fluctuations across different unit types. This pattern reflects varied performance by apartment size, with studios posting small gains of about 3% while larger units like 2-bedrooms and 3-bedrooms have seen decreases of 5-6% compared to the previous year. These changes are being driven by significant increases in rental inventory—particularly in neighborhoods like Astoria, which saw a 47% jump in available units—combined with new construction delivering modern amenity-rich buildings throughout the borough. The expanded inventory is helping to moderate rent growth, particularly in areas with strong transit connectivity to Manhattan, though demand remains solid due to Queens' relative affordability compared to Manhattan and Brooklyn. As of Q2 2025, the current median rent across all unit types in Queens is approximately $3,160.