The median asking rent in Brooklyn dipped 3.1% to $3,293 in November from the previous month, according to a StreetEasy report.
In the city overall, median asking rent fell 2.8% to $3,500 in November, marking the slowest mom of year-over-year rent growth since August 2024. The lower median rent reflects a rising inventory across the city, where there were 32,049 rentals on the market in November 2023, up 8.6% from a year ago.
The increase in supply led to rental concessions hitting a two-year high, with one in five rentals on the market offering at least one month of free rent in November. The last time the share of rentals offering concessions was this high was July 2021, when the city was grappling with an exodus of residents during the pandemic.
More rental concessions is a signal that rent growth will likely slow further over next year.
Competition is cooling in Brooklyn, but rent growth remains steady
In Brooklyn, median asking rents dipped 3.1% to $3,293 in November from $3,400 in October. That said, the borough’s current median rent is 4.5% higher than a year ago.
Persistently low rental inventory in Brooklyn is fueling strong increases in asking rents. There were 10,738 rentals on the Brooklyn market in November, an increase of 8.9% from a year ago. Despite early signs of rising inventory, renters have been grappling with fewer listings to choose from in the area throughout this year. Between January and November, 79,782 rentals were on the market in Brooklyn, 22.4% below the same time period in 2019 before the pandemic.
Renters can expect more relief in Brooklyn in 2024. Elevated rents and high mortgage rates will continue to draw more units onto the market, as property owners consider renting out their homes rather than listing them for sale. New Yorkers are also more likely to find rental concessions in Brooklyn now than anytime over the past two years. In November, 17.7% of rental listings in Brooklyn offered concessions, a higher share than 12.7% in November 2022.
Housing inventory grew 10.4% in Manhattan when compared to last year, pushing median asking rents lower to $4,150 in November. Median asking rents in Queens remained relatively unchanged from a year ago in November, and was at $2,899.
Despite slowing rent growth, NYC rental demand will continue to outpace supply
As inventory rises further, renters can expect a less challenging market in 2024. Rents are expected to grow at a much slower pace and landlords will increasingly offer concessions to attract tenants next year.
However, NYC renters are still faced with limited options. From January to November, 223,936 rentals were on the market citywide, a 14.8% drop compared to the same period in 2019. With the city’s resilient economy supporting demand, the rental market will remain competitive, as the number of apartment seekers continues to outpace the number of units available for rent.
