Why is NYC so expensive?

Question

I was looking into moving there, but noticed you cannot find a 1 bedroom for less than $1400 per month anywhere close to Manhattan.

Answer 1

my best friend ask the same question some say its cos its the best city in the world but i wouldn't know cos i love los angeles

Answer 2

NYC has the most expensive real estate in the country because it is one of the most important cities in the world. Which is why it was targeted for terrorists attacks. NYC while expensive to live in, generally has employment that pays better - thus to accommodate the population.

$1400 for a 1 bedroom isn't that bad in Manhattan, but you had better know the city before you rent it, not all is nice in NYC.

Answer 3

So many people want to live here and space is limited. There is currently an affordable housing crisis in NYC. One of the problems is that most new construction is on luxury apartments and condos that only rich people can afford. Developers are buying out regular apartment buildings, sometimes in low income areas, knocking them down and building condo buildings were prices start at 1/2 million dollars for a studio. It's insane. They are no longer building new apartments for middle class people. The ones that are left get more expensive every year.

They are also doing something called rent destabilization. There are more than 1 mil rent stabilized units in NYC. The rent is regulated by the city and can only be raised a certain percentage every time the lease runs out (1 or 2 years). Most of these are the affordable places people want. Over time, if the rent exceeds $2000/month, the apartment can be destabilized and the landlord can raise the rent to market rates. Some landlords are forcing deregulation by gutting vacant apartments and doing expensive and extensive renovation which bumps up the value of the apartment and can automatically deregulate it. An apartment that was rent stabilized at $1000/month can be renovated and then flipped into a deregulated apartment that goes for $2500/month.

Critics of rent stabilization laws claim that if all apartments were deregulated then all rents across the city would balance out and places would become more affordable in the long run. Nothing would be cheap but it might stop landlords from trying to charge insanely high rents. The landlords would lose the incentive to 'overcharge' because there would be less competition for affordable housing. As it is now, a lot of landlords own rent stabilized buildings where they aren't making much of a profit off the rents. They like to deregulate a few of the apartments they own so that they can charge insane rents on a few of them to make up for the low rent they are forced to charge on the other apartments they own. I'm against destabilization because it's bad for all the people already living in affordable rent stabilized apartments. Meaning, people like me would end up getting evicted because our low rents would go up a bit. You might have an easier time finding an apartment you can afford but it's because I just got kicked out.

Low and moderate income developments are still being built in some areas but you need to fit into certain income brackets to apply for one of the apartments and then they choose people by lottery. For the most part, you will not be eligible. Most people I know fall between the income brackets so they can't apply.

Answer 4

New York City, like a few other cities in the world, is an expensive place to live because people from all corners of the globe want to live and be in the City. In particular, people want to live in Manhattan: it's central, is where plenty of events occur, and living in Manhattan is romanticized by TV shows like Seinfeld and Friends.
As a result of this popular demand, rents are quite high in Manhattan. Everyone wants to live in NYC, and it seems the only way to differentiate between who gets an apartment in the city and who doesn't is the monthly rental rate.

Answer 5

You can make a lot of money in NY. No 2 ways about it. I still wouldn't want to live there. I live 70 miles north and west of there, and I worked only 30 minutes from home, and when I retired I was making 30 bucks an hour without having to go into NYC.

Answer 6

because land is limited. The only place to build is UP. As such,
demand for real estate is greater than the supply. In my city,
we keep building new housing to keep up with the demand.
That's not easy to do in NYC.

Answer 7

Supply and demand, jezareerobs -- simple as that.

Too many people chasing too few abodes.

But you should be able to find a 1br in the boroughs for about a Grand.

Answer 8

New york have changed because the white people have taken over again. I am not prejudice; but a-lot of blacks are moving back to the south and white people are building houses, stores'etc.

Answer 9

You should check out the Rents in Los angeles.
You think the NYC is bad ,
Or you should try the OC.

Answer 10

Basic rule of economics: supply and demand. Demand is high, supply is limited.