An article published by the New York Observer details the staying power of luxury rentals despite the slow, yet powerful comeback of the condominium market driven by a new kind of homeowners:
Brokers cooed about this new breed of renter, who preferred a lease to a deed not because of circumstance or financial necessity, but because they craved convenience and flexibility…
Nonetheless, developers and brokers say that the demand for top-tier rentals remains as strong as ever. Apparently, in New York’s gaga real estate market, there is room enough for both condos and rentals to flourish…
What surprised me was how easy it was to rent a one-bedroom apartment for $5,000 or more if it had a nice view,” confessed Clifford Finn, the executive vice president of new development at Douglas Elliman. “You don’t think of $5,000 as a one-bedroom price, but with the service package, amenities and views, people were very willing to pay $5,000.”
Despite the picturesque image of the New York real estate market painted above, though, residents are actually leaving for neighboring cities like Philadelphia. Between the lines, it provides an outlook for the future of rentals in Philadelphia, and the roles that skilled Philadelphia realtors will undertake.
In fact, tax returns filed with the IRS reflect that over 3,000 New Yorkers have packed up and left the Big Apple for Philly in 2010 alone. Were the numbers to include even those without filed information, the statistic could easily rise to the 4,000s.
Why this sudden migration? One of the driving factors is the inflated cost of living in the City That Never Sleeps: it would take almost $6500 to maintain a New York lifestyle that could be attained in Philly for only $4300. Given the big price difference, why then struggle to keep a luxury apartment in New York when you can have the same without bleeding your wallet dry in Philadelphia?
Besides, travel from Philadelphia to New York by train only takes 70 minutes or so; it doesn’t hurt that it’s also close to the nation’s capital, Washington.
Given all these, therefore, Philadelphia luxury apartments prove to be a prime choice for people who want to be in the middle of everything happening in the East Coast. Interested tenants can contact professional services, like Joanne Davidow, who can link them up to premium units in upscale neighborhoods in the city.
(Article Excerpt and Image from Even In a Booming Condo Market, Luxury Rentals Retain Their Luster, The New York Observer, November 5, 2013)
