While housing costs will remain high in New York City, StreetEasy predicts that buyers and renters will see slower price growth in 2016. The median sales price is expected to grow by 2.2 percent in 2016, down from 5.7 percent in 2015. The city’s median rent price is forecast to increase 3.2 percent to $3,055, down from 4.2 percent in 2015.
Though rents will grow at a slower pace next year, forecasts show that rent increase will continue to outpace the city’s income growth, presenting a year of even greater burden for renters across all boroughs.
StreetEasy’s New York City housing predictions also identify the top 10 hottest neighborhoods for the coming year. These are neighborhoods predicted to become increasingly appealing as record-high prices and growing competition price renters and buyers out of parts of Manhattan and Brooklyn.
-Sales and rent prices across all boroughs will grow at a slower pace compared to 2015i.
-Upper Manhattan will be the most competitive area of the city for buyers, with sales prices expected to increase four times faster than city-wide sales pricesii.
-Manhattan’s luxury market will cool amid weaker demand.
-Brooklyn will remain the most unaffordable borough for renters.
-Queens will see a surge of new demand in 2016, with Jamaica topping the list of hottest NYC neighborhoods.
StreetEasy is New York City’s leading real estate marketplace on mobile and the Web, providing accurate and comprehensive for-sale and for-rent listings from hundreds of real estate brokerages throughout New York City and the major NYC metropolitan area. StreetEasy adds layers of deep, proprietary data and useful search tools that help consumers and real estate professionals navigate the complex real estate markets within the five boroughs of New York City, as well as Northern New Jersey and the Hamptons. The company launched in 2006 and was acquired by Zillow, Inc. in August 2013.